Law20059 Contract Law Report 2022

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Student’s Name
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Contents
Overview..........................................................................................................2
Costs, administrative and regulatory burdens.................................................2
The potential liability to third parties...............................................................4
Fiduciary duty..................................................................................................5
Advisory section..............................................................................................7

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Overview
The report is addressed to Ms. Rebbecca, the supervising partner of the firm.
The report has been prepared in the matter of Ted, Greta, and Mariana (the
client). The objective of the report is to advise as a suitable business
structure to the subjective client considering different aspects of partnership
firm and company business structure.
Costs, administrative and regulatory burdens
A partnership firm is easy to form and operate in comparison to the company
structure, as it is less formal. There are different procedures and
requirements to set a business under partnership structure and a
corporation's structure. In addition to the requirement of tax filing, each
partnership firm needs to have an Australians business number that this firm
must use in every of its business dealings1. Secondly, the same can also
apply for registration of the business name (if there is any). The registration
of a business name can be done by using the Australian Government's
Business Registration Service. The registration fee for one year is $34,
whereas for three years it is $80. The other requirement that these business
needs to adherer to while setting up is the creation and execution of a
partnership agreement. This agreement highlights aspects such as liabilities
and entitlements of partners, distribution of assets and profits, duties of each
1 Business.gov.au,
Common business structures (Australian Government) <
https://www.business.gov.au/Planning/Business-structures-and-types/Business-structures>.