"Dutch Banking Sector Agreement publishes a paper on enabling remediation", 24 May 2019

Parties within the Dutch Banking Sector Agreement publish a paper on enabling remediation. The paper explores the role and responsibility of banks with regard to remedy...

[T]wo questions have been explored on the subject:

1. How to understand the responsibility of a bank when connected to an impact through the activities of a client the bank provides financial services or products to, in terms of when the bank might have contributed to a harm, and when the bank would be directly linked to that harm. 
2. The practical roles banks could play and actions a bank could take to enable remedy in practice, across all forms of responsibility.

Via a case-based approach, specific cases were explored and measures in the field of due diligence and practical steps banks could take to enable remediation were discussed. Through its discussions the working group has recognized that remedy is a relevant consideration in all cases in which a bank is connected to a negative impact, across all forms of responsibility. The paper recognizes significant opportunities for banks to strengthen the focus on remedy in practice, whether in contribution or linkage situations, and thus contribute to better outcomes for people...