business law

posted by .

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 20021 (NSW

Respond to this Question

First Name
School Subject
Your Answer

Similar Questions

  1. Business Law

    In each of following situtations. is there any violation of fiduciary relationship by a partner. In each case, indicate whether it would make difference if the partnership was informed of and/or approved the transaction. 1. Partner …
  2. business law

    A partnership is created:a a)If the managing partner files appopriate papers with the secretary of state. b)If two or more persons or entities engage in an ongoing business activity for profit. c)Upon the issuance of stock to the partners. …

    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 …

    Plz give me some tips I'm not really good at business law the question is "You are advising a client who is the managing partner of a 6 person partnership engaged in a property development in NSW. The partnership is considering doing …
  5. business

    According to the Uniform Partnership Act, the three key elements of any general partnership are
  6. Federal Taxation

    In 2005 Russell acquired and interest iin a partnership in which he is not a material participant. The partnership was profitable through 2008, and Russell's basis in partnership interest at the beginning of 2009 was $50,000. Russell's …
  7. Business Law

    Under the Revised Uniform Partnership Act a. partners are co-owners of partnership property b. partners don't have transferable economic interests c. partnership property is owned by the partnership d. the partnership is an aggregate …
  8. Accounting

    Needs the entries for the following scenarios: Capital accounts as follows : Mason ; 90,000 Jiri; 30,000 James; 60,000 a) Frank pays mason 25,000 for 20% of masons interest in the company b) Frank invests 60,000 cash in the partnership …
  9. business law

    Drafting on partnership deed
  10. Business Law

    Which of the following is a cause for the dissolution of a partnership?

More Similar Questions