Legal Dictionary of Pakistan

D'Oench Duhme doctrine

The rule that estops a borrower from asserting a claim or defense against a federal successor to a failed financial institution - if the claim or defense is based on a side or secret agreement or representation - unless the agreements or representations have been (1) put into writing, (2) executed by the financial institution and borrower when the loan was issued, (3) approved by the financial institution's board of directors or loan committee, and (4) made a permanent part of the financial institution's records. D'Oench, Duhme & Co. v. FDIC, 315 U.S. 447, 62 S.Ct. 676 (1942) (now partially codified at 12 USCA § 1823(e), and otherwise of questionable standing in light of O Welveny & Myers v. FDIC, 512 U.S. 79, 114 S.Ct. 2048 (1994)).