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CASE STUDY
Simon & Sarah Drummond are qualified accountants, having completed their TAFE studies some years previously. In 2001, they commenced their own business “Books on the Run Pty Ltd” – a mobile accounting service operating in the North Eastern suburbs. Books on the Run advertise for a junior accountant to join the firm. Having recently gained your qualifications, you apply for & are successful in gaining the position (they are particularly impressed with thw fact that you have studies Legal Decision!).
1.During your 1st week of work you learn that Sarah is eager to impart her accounting knowledge to students Australia wide & she tells you that she has begun to write an accounting text book entitled “Figure it Out!” & is unsure as to how she would protect the Copyright. However, you also learn that although Sarah is enthusiastic to complete the text in the next 6 months, she has been pushed for time. As a result, she has been referring to an accounting text by another author (J M Hardy) & “just copying some of that”. Additionally, Sarah mentions that an ex-employee had written the 1st chapter of the book over which he was claiming copyright which she did not think he had a right to do.

2.Time passes & your probationary period at Books on the Run expires; you become a full time permanent employee. Simon Drummond, thinks it would be a good idea for you to have your own business cards, especially as you will be involved in a number of promotional events on behalf of the business in the next few months.
After you approve a proof of the anticipated card, the printer makes up the order & delivers the business cards that afternoon in addition to an invoice in the amount of $250.00. Unfortunately, when you open the box, you find that the cards have been water damaged & consequently the ink has run on the majority of them.
Simon immediately complains to the printer & refuses to pay the $250.00. He also demands that all the cards be replaced free of charge as they are not fit for the purpose.

3.The next day you arrive at the office to find Simon & Sarah in a state of panic – they have received a Court summons. On closer inspection you note they are infact being sued for a second hand car which they purchased from Sals Secondhand Autos a few months previously. It appears that the plaintiff on the summons, claims to be rightful owner (not Sarah & Simon) as Sal the motor dealer, was not authorized to sell the vehicle to them for a mount he did.

4.A few weeks afterwards, Simon decides to buy 2 new laptop computers from “Compugig” alarge retailer after he sees a special deal adverised in their latest catalogue (NEC laptops for just $1,199.00). He immediately rushes to Compugig only to be told by the sales assistant that they have “run out” of the “specials” but do have a more expensive model which would suitnthe needs of Books on the Run. Simon later hears from a reliable source that Compugig knew it had insufficient supplies to meet consumer demand.

5.You are about to finish work for the week & whilst you are getting ready to go home, you overhear Sarah talking in her office to Peter Bennets from “Accouting Plus” (a competitor of Books on the Run).
Sarah & Peter agree that as they have market share of the provision of mobile accounting services in the North Eastern suburbs they will increase their prices to $180.00 per hour. You notice subsequently that this does in fact happen.
6.On the Monday morning, Simon tells you that approximately 6 months ago, Books on the Run took a bad debtor, Fred Slack, to court to obtain $5,000.00 in unpaid debts for the provision of accounting services. Eventhough a final court oder was obtained against Fred, the $5,000.00 remains outstanding. Simon wishes to take matters further.

Instroductions:
Produce a formal report (using Harvard system of referencing) advising Sarah & Simon on the above scenarios. In particular you should focus on:
-The area(s) of law which you need to discuss;
-Legal principles & cases in support of those pinciples which you discuss;
-The likely outcome on each scenario;
-Address any possible breaches of the law (common & statute);
-Remedies (if applicable)
If the assessor believes you have not addressed all necessary criteria, you will be asked to rewrite the report. Retain your report on disk.
 
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