FINAL EXAM REVISION

FINAL EXAM REVISION

PART A - multiple choice questions

Conduct by a corporation will breach s 21 of the Australian Consumer Law if the conduct is:

Fraudulent.

Misleading.

Deceptive.

Unconscionable.

Which of the following is NOT one of the elements which must be satisfied in order to establish a breach of section 18 of the Australian Consumer Law?

The conduct must have been intended to mislead or deceive.

The conduct must be misleading or deceptive or likely to mislead or deceive.

The conduct must have been by a person.

The conduct must be in trade or commerce.

Which of the following is classified as 'conduct' within the meaning of s 18 of the Australian Consumer Law?

Silence, if it is likely to mislead or deceive

Pre-contractual statements

Statements that are literally true but that create a false impression

All of the above.

Section 29(c) of the Australian Consumer Law prohibits false representations regarding goods relating to:

The place of origin of the goods.

The price of the goods.

Whether the goods are new.

The standard and quality of the goods.

Joseph enters an electronics store. He examines a television set that is on display. The television set sits on top of other boxes that have the word television and pictures of televisions upon them. The sales person tells Joseph that they only have one on display but he can have one from the boxes below the one on display as they are all the same. He agrees to buy one for $500. When he gets the box home he finds that the television is not the same as the one on display:

a) This scenario represents an example of sale by sample

b) This scenario represents an example of merchantable quality

c) This scenario represents an example of fitness for purpose

d) This scenario represents an example of fitness for use.

6. In what circumstances will an employer be liable for the negligent act of an employee?

Only if the employee is an independent contractor.

Only if the negligent act was carried out in the course of employment.

Employer will always be liable for the employees negligent actions in the course of employment.

Employer will never be liable.

7. Which statement best describes a partnership?

Two or more persons carrying on a business together.

A corporation of persons carrying on a business enterprise and intending to make a profit.

An incorporated association in which the parties agree to act in common.

The relation which subsists between two or more persons carrying on a business in common with a view to profit.

8. Which of the following statements is correct?

In a partnership every partner is an agent for every other partner.

In a partnership every partner is a principal for every other partner.

The agency of partners for one another is limited to contracts made for the purpose of the business.

A partner will never be liable for a contract made by another partner which is in excess of that partners express authority.

All (a, b, and c) are correct.

9. Partnership property includes:

a) property originally brought into the partnership

b) property acquired in the course of the partnership

c) the goodwill of the business

d) all of the above

10. Piercing of the corporate veil is:

Where the shareholders or directors are held personally liable for the debts of the company

Where the company is held liable for debts owing to creditors;

A principle that no longer applies to shareholders of Australian companies;

Both (a) and (b)

11. One advantage of a company is perpetual succession and this means:

a) a company has all the powers of an individual and also the power to sell shares and borrow money

b) a public company must lodge financial statements and directors' reports when it is successful and profitable to keep the investing public continually informed of its financial position

c) a company lives on even with a change of directors and shareholders

d) a company that records a profit in successive years is not required to appoint an auditor

12 The internal affairs of companies are now generally governed by:

a) the replaceable rules specified as applying to the company

b) a constitution drafted by the company

c) the replaceable rules or a constitution or a combination of both

d) the decisions of special resolutions passed by the shareholders

Part B - Short Hypothetical Questions

INSTRUCTIONS:

You should write only the Application of Law and the Conclusion for each question. In the application, you should explain the legal rules of the relevant sections of legislation and/or case law and apply the legal rules to the facts of the question.

In conclusion, mention the name of the court or tribunal hearing the case, what the court/tribunal will decide, what remedies are available to the plaintiff, and the time limit for filing a case.

A full ILAC answer is NOT required.

Question 13

Lyn was a beauty consultant who sold cosmetics door-to-door on behalf of Beauty Products Limited. Lyn approached Mabel, a recently widowed immigrant in her home. Mabel was in receipt of a disability pension because of her failing eyesight, which made her housebound. Mabel could speak only a little English but she did not read nor understand written English. Lyn knew of Mabels medical condition and circumstances. Lyn filled in the application form for Mabel to become a door to door beauty consultant and purchase the Starter Kit of Beauty Products for $1000. Lyn gave Mabel the impression that she was at risk of losing her disability pension, so working as a beauty consultant would ensure she had an income.

Advise Mabel as to whether Lyn has breached the Australian Consumer Law (ACL).

Answer

Application of Law

Conclusion

Question 14

Mark and Luke set up a partnership to carry on a business of repairing motor vehicles in Brisbane. It is a practice within the car repair industry to offer repaired motor vehicles for sale by placing them outside the repair shop. The partnership agreement expressly provided that neither partner was to sell motor vehicles. In breach of this agreement, Mark sold a vehicle to Ken, a regular customer of the partnership business. The exchange of ownership and payment (by cheque payable to the partnership business) took place during business hours at the repair shop. Mark stated the wrong year and model of the motor vehicle in the written contract with Ken.

Advise the partnership as to whether it is liable for Marks actions.

Question 15

Lois Griffin is managing director and chief executive officer of Environmental Services Ltd (ESL), a company incorporated in Queensland, whose core business is providing finance for new and innovative environmentally friendly products.

While attending an Environmental Products Trade Fair on behalf of ESL, Lois meets with Brian. Brian has developed a petrol recycling mechanism for cars, which results in a typical 6-cylinder cars petrol consumption and carbon emissions being reduced by 25%. Although Brian has created and tested his prototype he requires $1 million to fully test and market his petrol recycler.

Lois is very excited by Brians product and proposes to set up a company with both herself and Brian as shareholders. Brian agrees to the formation of a company so to ensure his product can be tested and marketed successfully. Lois sets up a company, Vision Pty Ltd. The shareholders of Vision Pty Ltd include Lois (51%), Brian (29%) and Lois husband Peter (20%). Lois, Brian and Peter are also directors of Vision Pty Ltd. Lois approaches ESL recommending the Board finance the development of the petrol recycler by lending Vision Pty Ltd the required $1m.

To ensure that Vision Pty Ltd receives the required funding, Lois alters Brians research report so that it states that petrol consumption and carbon emissions in a typical 6-cylinder car can be reduced by 75%.

The Board is unaware of Lois interest in Vision Pty Ltd. Without verifying whether Brians research is valid, and on Lois recommendation, the Board of ESL (including Lois) unanimously approves a $1 million unsecured loan to Vision Pty Ltd. Unfortunately, the venture is a complete failure. Lois, fearing personal bankruptcy, arranges $400,000 to be transferred from Vision Pty Ltds bank account into her own personal bank account. The creditors of Vision Pty Ltd, including ESL are now seeking payment.

Advise Environmental Services Ltd and ASIC of two claims they have against Lois for breach of the duties in the Corporations Act 2001 (Cth) What remedies are available to them?.

(DO NOT discuss section 180 Corporations Act in your answer).

Answer

Application of Law

Conclusion

2105AFE/215AFE(OUA) Final Exam FAQs

T2, 2024

WHAT CAN I BRING TO THE FINAL EXAM?

This is an open-book exam supervised by ProctorU. For example, you can bring in notes, textbooks, legislation, workshop questions and answers, dictionaries (non-electronic) (etc. For further details, please read the Announcement posted on Canvas and Microsoft Teams.

HOW LONG DOES THE EXAM GO FOR?

2 hours and 10 minutes

HOW MUCH IS THIS FINAL EXAM WORTH?

50% (50 marks total)

WHATS ON THE EXAM?

The final exam will consist of:

Part A: 5 multiple choice questions (Total 5 marks)

Covers: Modules (Topics) 7 11) Australian Consumer Law, partnership law, company law, employment law.

Part B: (Total 45 marks)

4 Short hypothetical questions

Question 6 - Australian Consumer Law - Modules 7 and 8 -(10 marks)

Question 7 Partnership law Module 9 ( 10 marks)

Question 8 Company law Module 10 ( 12.5 marks)

Question 9 Employment law Module 11 (12.5 marks)

How do I write my answer to short hypothetical questions

You should write only the Application of Law and the Conclusion for each question. In the application, you should explain the legal rules of the relevant sections of legislation and/or case law and apply the legal rules to the facts of the question.

In conclusion, mention the name of the court or tribunal hearing the case, what the court/tribunal will decide, what remedies are available to the plaintiff, and the time limit for filing a case. A full ILAC answer is NOT required.

How do I write the Application of law?

By now you should be familiar with writing the Application part of your answer. Remember, the Application:

is the argument that supports the law. You need to apply the law (e.g. apply every legal rule in the sections of legislation ( eg. Corporations Act or Partnership Act) and case law to the facts of the questions to convince the examiner that what you are arguing is correct.

Application of Law does not mean copying the content of legislation and case law from your course notes or restating the facts of the questions.

If you are having trouble with the Application, please refer to the answer guides to Workshop questions.

Referencing - if you are directly quoting from the facts of the question, the lecture or workshop slides, or the textbook, please write the reference as (Facts), (Slides), or (Text) in brackets after the quote. You DO NOT need to add the number of the slide or page of the textbook.

Citation of Case Law It is NOT necessary to write the name of the case in italics. e.g. Hartnell v Sharp Corporation of Australia Pty Ltd. Year, volume number, legal report name and page number need NOT be included.

When referencing legislation, please write as follows: Section 180 of the Corporations Act 2010 (Cth). This can then be abbreviated to s180 CA or (s180) for the remainder of your answer. It is NOT necessary to write the name of the legislation in italics.

Should I have a strategy for the Exam?

Absolutely. You are what I term an academic athlete. Athletes prepare for an event, but they also have a strategy during competition. You need to prepare for the final exam, but you must go into the exam with a strategy and stick to it.

You have 2 hours and 10 minutes of working time to complete 50% worth exam. Some student strategies in the past have included:

Sticking to pre-defined time limits based on the marks awarded to each part of the exam. So, Part A is worth 5 marks, complete it in 10 minutes. Part B is worth 45 marks, complete Part B in 1 hour and 50 minutes.

Why do students run out of time?

Approximately 30% of students in this course do not complete all the questions on the exam. Why?

They do not have templates, or simple summaries of the law, that they can turn to (if needed) in the exam. See the discussion about this under the heading Exam Preparation.

They do not simulate exam conditions when preparing for the final exam. By simulate, I mean doing typed answers to the workshop questions under time pressure.

They do not have a plan for tackling the hypothetical questions. My advice is to spend the first 5 minutes of your working time preparing your answer before writing it. This should involve the following:

Read the question to identify who you are advising and who they wish to take action against (this will give you a good idea of the law you need to consider before you even read the facts!!)

Read the facts and highlight those facts you know are relevant to the law

Draw a diagram of the relationship between persons and companies

Identify the legal areas that you are going to cover in your answer

Write your answer

These students spend a lot of time reading their textbooks and notes during the exam. As a rule of thumb, you should be spending no more than 5 minutes looking at your notes in the final exam. This means that you need to know the law.

Exam Preparation

By the end of the teaching period, you will have your own lecture notes and workshop answers. Different preparation is required for the multiple-choice, short hypothetical questions.

What are some exam preparation tips?

Ask yourself whether you have used the learning resources provided to you with the class materials:

Did you try to answer the problem questions either before, during, or after the tutorial? Did you check the answer guide to prepare the answers?

Have you answered the self-paced revision quizzes in Lecture Topic on canvas?

Make your own summaries/flowcharts for the areas of law from the lecture materials. Stimulate your preferred learning style. Many students are visual learners. So, putting together summaries of the main areas of the law or key sections of the legislation is a good way of learning.

In terms of cases, the more important cases are the ones that are part of the lecture slides and workshop answer guides. It is the legal principles of the cases that are more important than knowing the facts of the cases. The facts help you understand how the Court applied the law to reach its conclusion.

With cases I would:

First, understand why the Court came to its decision on a case, in other words, you need to understand what law the Court relied on and how the Court applied the law. You will be doing the same thing in the hypothetical questions in the exam. By the time you finish reading the facts for the first time, you should be able to identify the relevant area of law that applies to the facts and the Court's likely decision on the facts. Second, summarise the legal principle from those cases (no more than 1-2 sentences). So when you read a hypothetical question on the exam you should be able to have a "lightbulb" moment that goes something like this in your head: "oooh, that sounds like the case of ..... or: "oooh the legal principle that should be applied here is from .....". You can do the same thing by summarising the key sections of the legislation we have covered in the lectures.

With legislation I would:

Summarise the relevant section, in particular noting in your summary the key phrases that need to be applied in the section and where applicable, what they mean e.g. insolvent, reasonable grounds, officer, good faith, best interest, corporate circumstances, etc.

How do I prepare for the hypothetical questions?

As I have said during the semester, my advice is for you to prepare a summary template for each Topic that will be covered in the final exam. A template is handy because it will direct you to the relevant law that you need for Issues identified in the question.

The summary templates should be no more than 1 page each. In fact, some templates can be page.

The template is there to assist you in answering the question as efficiently as possible because it follows the ILAC format. You have the issue and the law in the template. All you need to do is identify the relevant law and then write the Application. The law that you summarise in the template can be used to jog your memory (if you need it) when preparing the Application.

My advice is to prepare the summary templates as soon as possible. Once you complete the templates and do some revision of the law, test yourself under exam conditions by doing the hypothetical questions.

Exam administration and policy

If you have any questions about the exam process, or your attendance eg if you a late, or sick, please check with Exam Department. If you encounter any technical issues on the day of your ProctorU exam, please contact exams@griffith.edu.au

How else to seek help? Pre-exam consultation (online drop-in) Teams sessions will be posted on L@Griffith. Take care, keep in touch, and if anything is causing you anxiety about the content of the course, please ask. All the best!