WORKS OF ART: Not an artistic free-for-all
Published by Law Society of New South Wales
In an industry where references to other fashion looks is rife, the courts have upheld an appeal by a company that another had copied its T-shirt designs.
Initially, a judge found that the second company had created a different design by making changes to the colours and numbers in the original.
However, on appeal the courts found that the ideas and concepts of a design had to be taken into account and that the company had reproduced a substantial part of the original.
GUARANTEES: Security for lenders
Published by Law Society of New South Wales
In a recent case, the court of appeal considered a case where a mortgage was varied, lengthening the term, increasing the principal and raising the interest rate, after the guarantors had resigned as directors of the company which had taken out the mortgage. The lender, who suffered a shortfall on the sale of the security, sought to recover from the guarantors.
The court concluded that the variations altered the nature of the guarantors’ obligations. By reason of the increase, the guarantors would have been exposed to a potentially greater risk of being called upon to meet a default by the company of its obligations under the mortgage, “even if their liability was limited to the original sum lent to the company ($240,000) plus interest”.
CLASS ACTIONS: Things to know
Published by Law Society of New South Wales
In the current economic climate it is not surprising that investor class actions are receiving increased attention.
There is some suspicion and confusion about class actions. Some people have an enduring belief that they must be taking on an unacceptable level of risk if they get involved. Equally, some may just have an aversion to continuing in a claim commenced without their express consent, despite the fact that it could benefit them financially to do so.
MARK UP FULL PRICE: New rules on advertising goods and services
Published by Law Society of New South Wales
There are new laws regulating the way businesses advertise the price of goods and services with possible fines of up to $1.1 million for a corporation and $220,000 for an individual failing to specify the full price.
Businesses are now required to specify as a single figure the full price of goods or services “of a kind ordinarily acquired for personal, domestic or household use or consumption”.
This means the GST and all other taxes, duties and levies must be included in the cost price of the goods, and the single figure must be displayed in a prominent way in advertising. This includes newspaper advertisements, promotional brochures, price lists on websites, and even when providing prices verbally.
TRUSTS: Blow the dust off that deed
Published by Law Society of New South Wales
Many clients are totally unaware of the limited life of trusts.
Trust deeds can sit in safe custody for years without being looked at. But if you are planning to do something with a trust, it is important to check the trust deed first. You may be in for a shock if you find that the date when the trust will mature is coming up soon.
DE FACTO RELATIONSHIPS: Am I entitled to a property settlement?
Published by Law Society of New South Wales
If you were in a de facto relationship which has broken down since 1 March 2009, you can make a claim for a property adjustment under the Family Law Act. However, you usually need to show that you have lived together for at least two years.
If your relationship has lasted less than two years, you may claim if there is a child of the relationship; or you are caring for a child of the other party, and the failure to make an order would result in serious injustice to you; or you made substantial contributions (financial or personal) for which you will not receive adequate compensation if the court does not make a property order, and the failure to make an order would result in serious injustice to you.
SEAL THE DEAL: Signing contract documents legally in the e-age
Published by Law Society of New South Wales
Often, not enough attention is given to the procedure for executing contractual documentation when finalising an agreement. This is increasingly an issue as the number of parties involved in transactions increase, parties often do not execute contracts in the same physical location, and frequently parties are required to execute signature pages and return them by email.
In a recent court case a tax consultancy operated a taxavoidance scheme for some of its clients. The revenue authorities suspected that the scheme had been dishonestly implemented and sought warrants to search for documents at a number of client premises.
Super Funds: Maintaining a sole purpose
Published by Law Society of New South Wales
Superannuation funds may be looking for more novel ways of accumulating wealth. People may want to accumulate wealth in a super fund by carrying on a business, but the tax office takes the view that this is not acceptable.
An alternative is for the fund to acquire shares in a private company or units in a unit trust which carries on a business. The tax office, however, will most probably say that this does not assist a trustee in avoiding the sole-purpose test.
Family Care: More leave entitlements in new employment system
National employment standards are an important feature of the new workplace relations system replacing Work Choices. Ten minimum working conditions will apply to all employees under the federal system from the beginning of next year.
The standards include a number of entitlements to help workers better accommodate their family responsibilities. They will include a right to 12 months unpaid parental leave, including birth-related and adoption-related leave.
Law Reform: Less Australia/New Zealand legal divide
Published by Law Society of New South Wales
The Australian and New Zealand governments have signed an agreement to make it easier to enforce certain judgments and sanctions between the two countries. It is also intended to streamline the process for resolving civil proceedings that cross the Tasman.
The direct result of this reform will be that parties in Australia or New Zealand with decisions not involving money that are captured by the trans-Tasman law reform will have more options for enforcement and a higher likelihood of success in enforcing when the defendant is in the other country or has property there.
The majority of civil proceedings will be able to be served in the other country without separately seeking permission from a local court, excluding such civil proceedings as dissolution of marriage, enforcement of maintenance obligations and enforcement of child support.
Recent Posts
- WORKS OF ART: Not an artistic free-for-all
- GUARANTEES: Security for lenders
- CLASS ACTIONS: Things to know
- MARK UP FULL PRICE: New rules on advertising goods and services
- TRUSTS: Blow the dust off that deed
Categories
- Advertising & Marketing Law
- Commercial Law
- Contesting Wills
- Family Law
- First Homeowner Grant
- Medical Law
- Property Law
- Tax Law
- Uncategorized