Participation Exercise 1:

Derek Delaney of DD Law has acted for Jack for a number of years, mainly in the sale and purchase of investment properties. Recently Derek acted for Jack in relation to a dispute with his former business partner John that led to litigation, the result of which was that orders were made against Jack in the amount of $250,000.  Jack was not happy with the conduct of the case, in particular Derek's failure to subpoena witnesses who were in his view crucial to the success of his case. Jack sent a number of letters and emails to Derek in relation to the matter, requesting particulars, and advice on the likelihood of success of an appeal.

Derek did not respond to any of Jack's correspondence, or return his calls; and he paid his costs for acting in the matter from trust fund monies deposited for the purchase of Jack's most recent investment.

In the meantime, John's solicitor notified Derek that unless the moneys owing to his client were paid, bankruptcy proceeding would issue against Jack. Derek did not respond to the notification, or notify Jack about it.

Sometime later, Jack was served with a bankruptcy notice and asked for Derek for his file. Derek did not deliver up the file. Jack then retained Smart to act on his behalf, and Smart requested the file from Derek. Derek failed again to deliver up the file.

Jack complained to the Legal Services Commissioner about Derek's conduct. The Commissioner wrote to Derek to requesting an explanation within a specified period, but Derek failed to comply within that time.

Summarise using authority, what the potential consequences of these facts are to Derek.

Participation Exercise 2:

You are retained to act in Nifty's toy importation business dealings.

You become aware that Nifty and his brother Shifty have been involved for a number of years in the importation and distribution of illegal weapons when Nifty reveals it believing "it's all confidential information". He tells you that a shipment is to be received at Nifty's warehouse next weekend. You also discover that Nifty and Shifty have paid bribes to customs officials to enable smooth passage of the shipment to Nifty; and they have indicated that 'unco-operative' security guards at the warehouse complex will be 'taken care of'.

The same day, you discover that Nifty is named in an investigation by the NSW Crime Commission. Police then arrive at your office and Nifty's office with a search warrant pursuant to s17 of the Crime Commission Act 2012, requiring production of all documents relating to Nifty's business dealings.

Explain, using authority, what your responsibilities are in relation to these facts.

2000 words

8 references.

Attachment:- Exercises.rar