Lesson Plan and IRAC Exercises(3) (1)
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Feb 20, 2024
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LAWS5508: Commercial and Company Law Agency and Partnership Laws
21 September 2023
Prescribed Readings
1.
Concise Australian Commercial Law (7
th
ed) (“
CACL
”), Chapter 16
2.
CACL, [17.10] – [17.680] 3.
Partnership Act 1895 (WA), sections 7, 8, 17 and 19. In-Class Programme
Time
Event
13:00 – 13:20
Short lecture on Agency Law and Partnership Law 13:20 – 14:20
Group Presentations on:
Panorama Developments (Guildford) Ltd v. Fidelis Furnishing Fabrics Ltd
Royal Globe Life Assurance Co Ltd v. Kovacevic
Khan v. Miah
Goudberg v. Herniman Associates Pty Ltd
Popat v. Schonchhatra
Chan v. Zacharia
Mercantile Credit Co Ltd v. Garrod
Regal (Hastings) Ltd v. Gulliver
14:20 – 14:35
Break 14:35 – 16:00
IRAC Exercise
1
IRAC Exercise
Note: During class, you will form groups and present your response to this exercise as a group. To
allow sufficient time for presentation, you should have prepared for this exercise before coming to
class. Each group will present its response to one question, assigned randomly during the class. Ismyati and Richard are in the business of providing puppy training in Perth. Richard primarily
handles the administrative and financial side of the business, while Ismyati primarily deals with the
customers and conducts puppy training. Their business is not registered as a corporation and they do
not have a partnership agreement. They have a Facebook page where they advertise their puppy training services. Potential customers
would message Ismyati on Facebook to obtain a quote. If they are happy with the quote, they would
then transfer the money in advance to a bank account registered in Richard’s name. The puppy
training is conducted in Richard’s home. At the end of every month, Richard would transfer Ismyati
$3,000 plus 30% of any profits received that month. If there is no profit in a particular month, Ismayti
would still receive $3,000 from Richard, out of Richard’s own pocket. This arrangement has
continued for over 2 years. In April 2023, Ismyati started an Instagram page which features puppies undergoing her training. The
page contains videos of the training sessions. The page was an instant hit and went viral. On 5 May 2023, PUPZ, a manufacturer of pet products messaged Ismyati and expressed interest in
engaging her as a spokesperson for their line of products designed to assist with pet training. Ismyati
agreed and signed a contract with PUPZ. Under this contract, Ismyati would receive $5,000 for each
Instagram post featuring PUPZ’s products. Ismyati did not inform Richard about this arrangement she
had with PUPZ. One of PUPZ’s products is an electric collar, designed to deliver mild electric shocks to puppies to
supposedly correct their behaviour. The electric collar is triggered by a button on a controller. On the
controller, it states that the button should not be pressed for over 5 seconds. On the back of the
controller, there is a sentence that states that “Users of this device acknowledge that PUPZ is not
liable for any injury caused in using this electric collar”. On 6 June 2023, Li Yan sent her puppy for training with Ismyati. At the start of the training, Ismyati
asked Li Yan if she is comfortable with using the electric collar produced by PUPZ. Li Yan agreed.
During the training, the puppy was aggressive and difficult to control. At one point, the puppy started
biting Ismyati. Ismyati pressed the button to trigger the electric collar, but the puppy did not stop
biting her. In her panic, Ismyati pressed the button for over 10 seconds. The puppy suffered serious
electric burns and had to be sent to the vet. 2
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