Companies and Partnership Law-Free-Samples-Myassignmenthelp.com

Questions: 1.How can a Partnership arise by a Course of Conduct? 2.Outline the legal process with the Business names and determine if this name is acceptable 3.Describe the problem with the use of the Corporate lists? 4.Would the Corporate veil of Spectacular Pty Ltd be pierced to make Earl liable to pay damages to Golden Lights Pty Ltd? 5.What grounds could ASIC use? Answers: 1.Partnership The Partnership act 1963 defines the partnership legislation in Australia. Under this act the formation of partners has determine that more than two person can form the partnership agreement for running any business or any other purposes for gaining the profits (Thomson et al. 2014). The partnership act helps to form a relationship between the members of the company. Under the act the partners make the registration to running the business in partnership dealing (Coffee, Sale and Henderson 2015). The partners are willing to establish such repetitiveness of action for the benefits of the business. The partners are also shares the equal shares from the profits of the business. For every action by the partners or the partnership farms, all of the partners are liable for the acts. The partnership exists according to some of criteria which are: There should be a formation of a valid agreement between the partners who are forming the partnership. The partners are should carry a business by a single transaction and they will work as joint venture in the partnership business. The partners should have common features like their rights of transaction, mutual rights of monitoring the clients, control business deals and taking decisions regarding the partnership business. They also have common interest in the agencies, obligations and their profits. The partnership business has outcomes are depends on their profits where they can share their profits equally or according to their partnership business. There are some exceptions also. In the sectors like churches or the sporting club the partners are not able to share their profits equally and according to the different jurisdiction their profits and activities will vary. The partners can dissolute the partnership as per the activity of the partners. Either they dissolute the partnership mutually or they mutually agree to termination of the partners for different circumstances of the partners. The partners have the right to continue the partnership by the limited liability of the partnership. Therefore according to the partnership act the partners will run their business with the common intention where they can determine their common acts and profits from the business (Thomson et al. 2014). The members of the partnership must act trust each other and not involved with the illegal activities. If any illegal or mislead conducts has occur then other partners can terminate the partner or in some cases they can dissolve the partnership also. By the advantages of the partnership is that the entity of the business operating is easier than the single business transaction. The income tax operation is quite beneficial for the partners who are paying the taxes (Coffee, Sale and Henderson 2015). 2.According to the case study, Earl is wanted to start a business where she wants to attach the business name which is Spekkie Events along with Spectacular Pty Ltd. Therefore as being a sole trader of the business, he needs to register the business name under the ASIC registration. The business name never used the name of the sole trader. A particular business name is required. The legal name will e connected with legal contracts, property leases and employment contracts. The business name is completely different from the legal name which should register under the Australian Securities and Investments Commission (ASIC) (Potts and Nazarian 2015). Therefore the sole trader will first check the name availability on the ASIC search websites. Then the name will be registered online process. The business registration also includes legal and tax formalities (Potts and Nazarian 2015). The debt of the business incurs also part of the registration of the business name. There is no difference between a business name and a trading name because both of them can use for running the business (Wilson 2016). Business name helps to the customer to find the business operator. A business proprietor can use multiple names for the business but when the trader wants to use the name in legal documents then they should register the name under the Australian Securities and Investments Commission (ASIC). The multiple business names will be linked to the Australian Business Number (ABN). 3.According to the common business law the basic fundaments is the privacy act. According to this act the person or director or employees never disclose the company personal information or procedure where it is entitled to direct marketing purposes (Warren 2016). It is completely illegal to use someone property for own business purposes and if the company found that their personal information has been used without their knowledge and approval then the trader may face consequences (Potts and Nazarian 2015). According to the Australian Securities and Investments Commission (ASIC) never allow someone to disclose private information for their own benefits. Therefore, according to the case study, Earl is working under a company until 11 December which named Golden Lights Pty Ltd and from 12 December he will start his own business (Wilson 2016). Therefore he wants to use his previous company clients contacts which are completely illegal for the sole trader to run their business (Potts and Nazarian 2015). If the Golden Lights Pty Ltd has found that their old employee is using their client contract for his own benefits then he may face legal obstacle for the illegal activities. According to the business code of conducts it is illegal to disclose the private information of the business organization or use for their own profit then that person is breaches the duties and involved in the illegal activities. Therefore if Earl use the customers of Golden lights Private Limited for his business and earn profit then it will be an illegal act according to the common law of trade. 4.Corporate veil is a legal concept where the Corporation separated from the shareholders and protects them from any companys debts and other liabilities (Lo 2017). According to the courts decisions when it has been conducted that the companys business was not working or running according to the provisions of corporate legislation then it is the duty of the shareholders that they will keep their duties for lifting the corporate veil. When the courts has found that any corporate veil has not processed due to some fraud then court will never allow the veils (Wilson 2016). In the case of Gilford motor company ltd v. Horne and Jones v. Lipman, it has been found that Court view the trial where it has been found that the allegations are incorporating with the perpetrate for and the corporate veil has not need to applied (Lo 2017). Therefore according to the case study if it has been found by the court that he is using the contacts of Golden lights Private Limited for his own company benefits then it will affect his new business and he will be sued for being a fraud. It is an illegal activity for a sole trader (Warren 2016). 5.According to the case study Spectacular Pty Ltd process his business into different names where he also using the customers of his previous workplace. He may face several consequences for using the corporate veil because he is liable for the damages of Golden lights Private Limited. Now Australian securities and Investments Commission (ASIC) will investigate the issues (Asic.gov.au, 2017). They have rights to investigate on financial system and dealing with fraud. First Australian securities and Investments Commission (ASIC) will investigate about the complaints of Golden Lights Private Limited then it will work according to their investigation process. Then they can verify and approval of the products and services of Spectacular Pty Ltd. Then they will monitor all the entities and management from where the misconducts have been processed. They also supervise the detection and detergents of misconduct. Australian securities and Investments Commission (ASIC) also look for the financ ial services licensee and auditors report of the business and they make it (Asic.gov.au, 2017) sure that the consumer and investors get to know about the frauds by the Spectacular Pty Ltd. If it has found that Earl has make the frauds then they will make it sure the prevention of the fraud where first they will identify the misconducts and behaviors then they it makes sure that the frauds has been removed and they also warn The Spectacular Pty Ltd about their frauds and not engaged again with same misconducts. Finally they will process the legal works and make it sure that Golden Lights Pty Ltd can get the compensation for their damage (Asic.gov.au, 2017). References Asic.gov.au. (2017). How ASIC deals with reports of misconduct | ASIC - Australian Securities and Investments Commission. [online] Available at: https://asic.gov.au/about-asic/contact-us/how-to-complain/how-asic-deals-with-reports-of-misconduct/ [Accessed 25 Aug. 2017]. Coffee Jr, J.C., Sale, H. and Henderson, M.T., 2015. Securities regulation: Cases and materials. Gilford motor company ltd v. Horne and Jones v. Lipman Gitman, L.J., Juchau, R. and Flanagan, J., 2015. Principles of managerial finance. Pearson Higher Education AU. Hoye, R., Smith, A.C., Nicholson, M. and Stewart, B., 2015. Sport management: principles and applications. Routledge. Lo, S.H., 2017. Piercing of the corporate veil for evasion of tort obligations. Common Law World Review, 46(1), pp.42-60. McQueen, R., 2016. A Social History of Company Law: Great Britain and the Australian Colonies 18541920. Routledge. Potts, C. and Nazarian, A., 2015. Small businesses and graduate recruitment in Australia and the United Kingdom. International Journal of Business and Social Science, 6(8), pp.61-69. Thomson, E., Lappegrd, T., Carlson, M., Evans, A. and Gray, E., 2014. Childbearing across partnerships in Australia, the United States, Norway, and Sweden. Demography, 51(2), pp.485-508. Warren, M., 2016. Corporate structures, the veil and the role of the courts.Melb. UL Rev.,40, p.657. Wilson, G., 2016. The search for a principled approach to lifting the corporate veil: a Polanyian perspective to a Quixotic quest.