LLW3009: Lawyers’ Ethics and Professional Responsibility Sally Shyster (Sally) - Law Assignment Help

Assignment Task:

Task:

1. Sally Shyster (Sally) is a legal practitioner and the principal solicitor of Justice in Time Legal. Joan Doe (Joan) is an employee solicitor of Justice in Time Legal. Joan is relatively new at Justice in Time Legal, having previously worked at another law practice, Smith, Deng & Nguyen Law. As principal, Sally is authorised to handle trust money. Justice in Time Legal is a general practice firm, predominantly in administrative law matters.

2. Natalie Gibson (Natalie) is Sally’s oldest friend from primary school. Natalie and Sally grew up together and their families were close. Sally’s mother used to call Natalie ‘one of her children.’

3. Natalie and Peta Bevans (Peta) were friends who met at a ‘holistic wellness’ conference. Inspired after attending a seminar on the untapped powers of vitamins, they established a small business together. They incorporated a company named Immortality Vitamins Pty Ltd (Immortality). They are both directors and the only shareholders. Natalie managed the company’s marketing and social media presence while Peta handled the company’s accounts and finances.

4. Natalie and Peta had a public falling-out over an Instagram post that didn’t get many ‘likes’ and Immortality Vitamins is now dormant. Natalie believes that Peta may have “cooked the books” and misappropriated up to $350,000 from the company. Peta has been ignoring Natalie’s repeated requests for a full account of the company’s finances.

5. One Saturday evening Natalie goes to see Sally at her home – she arrives early for their monthly book club with their old school friends. Natalie is in tears. She has received a letter from Peta’s solicitors, Smith, Deng & Nguyen Law, accusing her of stalking and harassing Peta online. The letter threatens legal action if she does not “immediately desist” from such acts.

6. Natalie seeks Sally’s assistance to respond to Smith, Deng & Nguyen Law. She also wants Sally to initiate legal action against Peta for an account of Immortality’s finances as Peta has been stonewalling her for six months and she is emotionally exhausted and feels out of options. She hands to Sally whatever documents relating to Immortality that she has in her possession.

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9. Sally spends about 3 hours discussing the issues with Natalie and looking through her documents. By 1.30 am Sunday morning, Sally has formed an opinion – although, it’s more of a ‘hunch’ as she has not been involved in civil disputes before. She informs Natalie that in her considered view, Peta’s allegations of stalking and harassment are baseless, although she cautions Natalie to refrain from posting anything else publicly on Peta’s social media channels. Having met Peta a few times, Sally believes Peta is ‘all talk and no substance’ and so she tells Natalie that she thinks the letter is an empty threat. With regard to Natalie’s belief that Peta has misappropriated money from Immortality, she is not entirely sure whether Natalie has a basis for taking legal action against Peta without some sort of evidence of the alleged misappropriation. 

10. Sally does not go into much detail as she does not feel confident in her knowledge of civil litigation matters. Sally gently suggests to Natalie to simply ignore the letter and write off the business. Besides, Sally thinks that it is in Natalie’s best interests to move on and put the whole matter with Peta behind her.

11. To Sally’s utter surprise, Natalie rebukes her, “I thought you were my friend! Of all people, you should believe me!’ Sally quickly responds that she believes Natalie. Natalie tells Sally that “if you believe me then you’ll help me respond to the letter” and to initiate proceedings against Peta. Natalie tells Sally in no uncertain terms that she “will not take this matter lying down” and that Peta “will regret the lies she spread online” and she “does not care whether there is a good case or not.”

12. [this paragraph is not relevant for this assessment]

13. On Monday morning Sally replies to Smith, Deng & Nguyen Law refuting Peta’s allegations against Natalie of stalking and harassment. The letter also demands from Peta a full account of Immortality Vitamin’s finances. One of the paragraphs in Sally’s letter asserts, “Your client has misappropriated up to $350,000 from Immortality Vitamins Pty Ltd and we will not hesitate to commence legal proceedings if full restitution is not made.” Sally emails to Natalie a copy of her reply to keep her informed of progress.

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