Justine Believer Was A Book Keeper Case Study - Management Assignment Help

Assignment Task

Question 1.    

Justine Believer was a book keeper who decided to open her own small business. The business has been operating successfully for the last year.

However, last month while working on a client’s cash flow records, Justine experienced severe pain in the thumb and forefinger on her right hand.  Justine ignored the pain for several days thinking it would just go away. By the end of the week when her hand became severely swollen Justine finally went to the South Yarra Medical clinic near her home.  She saw three different doctors in two weeks who told her that there was nothing wrong with her hand and to just go home and take some headache tablets. The night after her last visit to the Clinic Justine collapsed at home and was rushed to hospital. Doctors at the hospital explained to Justine that she needed urgent x-rays and scans as they suspected she had a serious infection in her thumb and three fingers. The procedures confirmed the infection and a surgeon was called in to amputate Justine’s infected fingers and thumb. The surgeon explained that her injuries would lead to permanent problems with her hand and she may find it very difficult to continue her work as a bookkeeper. She also explained that Justine would need a lot of time away from the office for rehabilitation.  The surgeon went on to tell her that had Justine been sent for x-rays and scans the first time she went to the South Yarra Medical Clinic the infection would have been caught earlier and her thumb and fingers could have been saved.

A. Advise whether Justine could sue the South Yarra Medical Clinic for negligence. Use case references to support your answer.
B. Discuss the relevance of vicarious liability and any defences the clinic may raise to avoid their liability or reduce possible compensation.                                    
Question 2.    

Sophia owns a tea house called “Tea Essence”. While entertaining her good friend Nicole at the Tea House Sophia offers a 50% share of her business for $200,000 to Nicole. Sophiatells Nicole that if she does not hear from her before 5.00 pm the next dayshe will assume the offer has been accepted. Nicoletells Sophia she wants to think about the offer but doesn’t want to lose the opportunity until she decides so she leaves a $1000 deposit to keep the offer open until 5pm the next day.  It is now past the next day 5pm deadline and Nicole has not communicated acceptance.

Advise whether, Sophiacan enforce the contract if Nicole refuses to proceed with the sale?                         

Question 3.    
Connor was out walking in the park when he found a very cute dog called a Spoodle. There was no sign of the owner and upon looking at details on the dog’s collar he managed to contact the owner who told him the dog had been missing two days. The owner was very relieved and grateful to Connor when he came to collect the dog.

A few days later Connor was walking in a different part of the park and saw a poster advertising a reward of $1000 for the lost dog that he had already returned to the owner. Connor contacted the owner again who confirmed that he still had the dog and that the poster had been put in the park a day before Connor found the dog. Connor asked if he could come around and collect the $1,000 reward to which the owner replied. “Thanks for finding my dog but I don’t have to pay you”.
Advise Connorabout his rights under contract law.                 

Question 4.   

Jordann, aged 86, had worked over the years to build up his estate, and was concerned to pass a significant proportion of it onto his nephew Toufic who had worked with him for some time to build it up. The uncle’s main disappointment in life was that he had not had a son of his own and he looked upon his nephew as his “adopted son”. It was clear that Jordann had an emotional and physical dependence on his nephew. Toufic is very aware of his Uncle’s affection for him and as Jordann’s health began to deteriorate, approached Jordann asking him to transfer an estate worth $800,000 to him for a very low sum of $200,000. Toufic’s solicitor who is aware of Jordann’s enormous affection and trust of his nephew, completed the transfer of property without advising Jordann to seek independent advice. After Jordann’s death, his daughters seek to have the transfer overturned on the basis of unconscionable conduct, alleging that Toufic took advantage of Jordann’s trust.
Advise Toufic whether his contract with Jordann is likely to be rescinded.

Question 5.    
Fullworths Dodgy LTD. was a large, successful home wares business which manufactured and sold a range of products online and in store. One of the company’s most popular products was a padded folding chair, called the “Magic Chair” which retailed at $100.  The chair was described in the company’s advertising catalogues and packaging as:

“One of a kind, made of natural timber and capable of bearing the weight of 115kg”

Harriet Gorman owns a highly successful small business which she is now considering to expand into a second store in a new location. However, Harriet sold a similar chair to the “Magic Chair” made of resin which retailed at $140 and had been declining in Sales recently. Harriet was annoyed that sales of her chair have gone down since Fullworths began selling their product.  When Harriet decided to check her competitor’s product for herself she was horrified to find that the Fullworths chair was not actually made of natural timber but cheap plastic.Having a qualification in Design and Engineering Harriet realised it was highly likely that the “Magic Chair” could not hold more than 80 kilograms. 
a. Explain whether Fullworths has breached the consumer law identifyingand applying the relevant section.                
b. Explain why Harriet might consider changing her business structure from a sole trader to a company by outlining the differences between these business structures. 

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