The North v Marra Developments Ltd
10 Pages2640 Words247 Views
Added on 2020-03-28
The North v Marra Developments Ltd
Added on 2020-03-28
ShareRelated Documents
North v Marra Developments: A Case Study 1NORTH V MARRA DEVELOPMENTS LTD [1981] HCA 68: A CASE STUDY REPORTby [Author(s) name(s)]:Business & Corporate Law(Tutor)(University)(City and State)(Date)
North v Marra Developments: A Case Study 2Table of ContentsNorth v Marra Developments Ltd [1981] HCA 68: A Case Study Report................................2Introduction................................................................................................................................2An Examination for Breach of Duties and Responsibilities......................................................2A Critical Analysis of the Court’s Decision..............................................................................2The Relevance of the Decision to the Development of Australian Corporations Law..............2Conclusion..................................................................................................................................2
North v Marra Developments: A Case Study 3North v Marra Developments Ltd [1981] HCA 68: A Case Study ReportIntroduction The North v Marra Developments Ltd [1981] case sets precedence in the area of marketmanipulation. As the facts go, stockbrokers had brought proceedings against a clientcompany claiming remuneration for services rendered. In their defence, the client companyargued that the contract under which remuneration was being claimed was an illegal contractand as such, they should not be required to pay. With regard to the contract in question, thebrokers had raised the market price of the client company shares to aid the client in atakeover bid for another company as well as to mitigate the defendant’s vulnerability to atakeover. The court held that contract and the subsequent actions of the parties amounted toan illegality and as such fees could not be recovered by the plaintiff[ CITATION Whi10 \l2057 ]. The following report has been commissioned to analyse the arguments and findings inthe aforementioned case. It will highlight any breach of duties outlined in the case anddiscuss the rationale behind the Court’s findings. Further, the study will investigate thecontributions the decision has made toward the development of Australian Corporations Lawthus far.An Examination for Breach of Duties and ResponsibilitiesThe following segment aims to examine obligations that may have been breached aspresented in the arguments outlined in the case study. The prime statute relied on in thedetermination of this case was the Securities Industry Act 1970(NSW). The conduct of theparties in the case was found in contravention of the provisions of Section 70 of the Act 1970which prohibited the creation of false or misleading appearances of active trading ofsecurities in the bourse[ CITATION Arm091 \l 2057 ]. This prohibition extended to themanipulation of the market price of the securities. Any person found in contravention of thisprovision would be held liable for a breach of duty not to create false trading. From the case
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Australian Law Case Studylg...
|9
|2530
|76
Tort Law - Adeels Palace Pty Ltd v Moubarak Adeels Palace Pty Ltd v Bou Najem [2009] HCAlg...
|6
|940
|88