Highlights
Task
Part A: Contracts Law Question:
a. Bach would teach Handel violin free of charge.
b. During the four-year period, Handel could not accept performance engagements for the violin other than those under Bach.
c. Bach would employ Handel to perform on stage for at least two paid performances per year. Handel accepted a performance engagement from Mozart, to highlight his skills on the piano, as his income from Bach’s employment was insufficient for his support. Bach wishes to sue Handel for breach of contract.
Required:
Advise Bach using the principles of contract law.
Part B: Negligence question:
Required:
Advise William on whether he can sue the real estate agent for his statements about the restaurant and whether you think he can succeed.
Part C: Corporations Law question.
Part C – Q1) Business Structures:
Michael and Sarah are preparing to operate a small business which specialises in Australian country cookies. Michael tells you he plans to perform the administrative duties such as sending bills to customers and answering the phone orders. Sarah will cook and decorate the cookies. Michael and Sarah both want some involvement in the management and ownership of the business. Michael and Sarah are married but do not have any close family members. They intend to hire more staff and wish to see the business continue after their retirement. Sarah is aware that another operator has just been isued and was found liable for $1 million dollars in damages after some plastic was found in one of their specialty cookies. Michael and Sarah are unable to decide between a partnership or a company structure.
Required:
You are asked to provide advice in IRAC format on how the venture should be structured.
Part C – Q2) Management of companies.
Gerry is the managing director of investor relations in a home insurance firm called Cengage Insurance Limited. A clause in his service agreement states that he will not deal with customers of Cengage Insurance Limited on leaving the employment of that company. Gerry decides to resign from Cengage Insurance Limited and joins a start-up called Kiwi Insurance which streamlines the home insurance process for individuals through a dedicated app. Gerry is appointed Investor relations manager for Kiwi Insurance. He then approached the customers he formerly dealt with at Cengage Insurance Limited that no longer have a current engagement with Cengage Insurance Limited.
Advise Cengage Insurance Limited as to the grounds on which it can take legal action to prevent Gerry’s actions.
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