University | The University of Newcastle (UoN) |
Subject | LEGL1001: Foundations of Law |
Question:
Luisa owned a casual dress shop she started on her own in 2017. After she decided to advertise on social media, her clientele grew so rapidly that she needed help to keep the business running.
One night during a family discussion after dinner, it was agreed that Luisa would continue operating the business for another two years before she could retire and Paula, her youngest daughter, would take part in running the business. Since Paula was only 16 and was about to finish school, it was decided that she would receive any unsold dresses she could use, redesign, or sell to her friends.
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As Luisa planned, she retired in 2019 and arranged for giving away the unsold stock to her best friend Atenea, who ran a charity and would donate the proceedings to the local community center. Paula is disappointed as she worked so hard during the last two years in the shop.
Paula has been dreaming of starting her own business selling casual dresses and saving for her training as a model and fashion designer. Paula comes to you for legal advice as she thinks she had an agreement with her mother.
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