Under English law, borrowing termed "on demand" may be
repayable on demand notwithstanding the fact that other terms
are included in the loan documentation indicating that the bank
does not intend to call in the facility until a specified date.
It is not inconsistent under English law for a loan to be made
which is intended to stand until a fixed date in the future,
which also contains the caveat that the lender retains the
right to call for repayment at any time upon demand.
In the recent case of Lloyds Bank plc v Lampert and another
(CA  1 All ER (Comm) 161), the bank granted a loan to Mr
L on March 12 1996. The loan was obtained for the benefit of a
company of which Mr L was chairman, and secured by a guarantee
given by Mr L to repay all money owed by the company to the
bank, up to...