posted by ZIO on .
plz help me doing my law essay..
Just give me some important points...
Six months later, the same client comes to see you again. She shows you an advice received recently from the partnership¡¯s investment banker, Selby Bank, which suggests that the partnership should engage in some risky behaviour because it will produce a large profit. The partners acted in reliance upon the advice from Selby Bank, which said ¡®you need not spend money to remove the toxic waste under the new block of flats you are building in Epping because no one will ever know¡±. The partnership now finds its development discussed in a front page article in today¡¯s Sydney Morning Herald in a scandal over the toxic waste. As a consequence, the partnership¡¯s external financier (Blazey Bank) is refusing to provide the rest of the loan funding to complete the development. Each partner will lose $1million as a result.
Under these circumstances, can the partners sue Selby Bank for the losses incurred? In your answer, you are to apply both the common law and statutory law on the relevant area of negligence. For statutory law, you are to refer to the Civil Liability Act 2001 (NSW) only and not any other legislation.
It appears to me that a crime was committed, and the common law applies. The partners go to jail, and have no civil remedy. I don't have a copy of the LV 2001, however, in the 2002 and 2003 copy under obvious risk the partners have no recourse.