Thursday 31 December 2015

Happy New Year!

Happy New Year everyone,

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A warm apple cider cheers to you all!
It's exciting to think that this little blog is now entering into a new year where new legal issues and explorations will occur.

Already some of you may know there are some exciting changes coming up that will entirely alter how this blog is perceived and presented. Hopefully the change will also allow for some guest legal academia to come onto the blog and present to us.

For now please enjoy a new years gift of being always with the 'legal-know-how'. No young lawyer is complete without a subscription to theunderagelawyer. This can now be achieved by entering your email into my subscription box located in the side tool bar.

Happy new years and I hope you're looking forward to the many posts to come- and thank you for joining me for the beginning of this journey!

Tuesday 22 December 2015

The issue with Australian directors

cake, food, yum, hungry, coffee, drinks, directors, business, serious. hot chocolate, winter, durham
Being a director means more than coffee and cake!
The types of directors and the pools from which they are drawn from clearly lack diversity, new reports from Australia propose. Recruitment firm, Blenheim Partners' Gregort Robinson & Dr Brett Wright in Macquarie University found that failure to consider more than gender diversity on a board of directors is significantly limiting the pool of potential directors and employee career prospects.
conjunction with

Moreover the study found that directors are now operating generally only within an employee capacity. This means that they operate as necessary to maintain capacity. This means that they operate as necessary to maintain their jobs. As a consequence business ventures with greater risks are often rejected by big firms looking to invest. Clearly Australia which is already isolated from other economies is suffering from this complete lack of risky business venture.

The report also suggested that directors were now operating more as business employees than actual representatives of a company. As a consequence we have lost the 'arms and legs' of the business personality and instead employed a variety of guards that keep the business afloat instead of growing.

In Australian business law (contained within several pieces of legislation, particularly the Australian Competition and Consumer law – also please note it is accompanied by much common and case law) there is a legal principal known as the 'veil' this veil exists between a business and its operators. Of course, a business in order to have a usable veil must be incorporated – meaning that the original sole trader or partners extract themselves from the heart of the business in order to manifest as new body which is a non-human trading individual.

For example if I started my own sole tradership called The Underage Lawyer's Coffee, the simplest form of business, I could later incorporate it. In doing so, any debts or profits or trade agreements become part of my financial status. Once the business is incorporated the business becomes a company but it then takes on the ability to create and finish its own contracts.

Yet every person knows a company can not act by itself, hence directors become the metaphorical limbs of the new business body. Hence when a company only operates within the movements necessary to ensure the continuation of the business into the fortune. Clearly many businesses will prefer to remain in business than to look for the means by which they can increase their wealth or support innovation.

The Australian Bureau of Statistics suggests that Australia has lowering levels of innovation in key industries such as manufacturing and retail. This decrease has ongoing rollover effects on employment and living standards. Many people may not stop to consider the overall impact of investment – but programs such as crowdsurf or kickstarter highlight the importance of investment in innovative – although non-traditional- business concepts.

Clearly products such as the pebble smart watch, android gaming console (Ouya) and MaKey Makey would not exist without such support. These products are some of the great stepping stones for our economy to reach increased levels of commericial innovation. Where Australia falls in this support is that our directors are not looking for how to use the company as a means of bettering not only their affiliates significantly but to advantage the surrounding economic climate.

Many business and legal experts have dubbed the phenomenon of helping non-affiliates to better the economic climate corporate philanthropy. While probably closer to patronism in some ways it is a means of advantaging the economy for long term benefit.
This is most likely unpopular with today's director boards because in their capacity as directors they are working constantly to keep their job.

The reasonable person would assume that given directors should only operate for the good of the company by operating in their own interest they are actually failing their duty to the company. Of course with Australia's tight laws on corporate negligence it is often difficult to prove that taking a risk on innovative investments was for the reasonable benefit of the company. But directors must first become the limbs of the company and not its employees. Once this has been achieved the law of Australia can change to provide room for innovative investment.

Given that it will be difficult to prove that the investment made by a company was for purposes of helping a potentially beneficial innovation to enter the market – as fraudulent schemes are often covered by such reason – the government or business industry supervisor must create a certificate of authentication for whatever businesses are recommending themselves to investors. Similar to when a company enters the stock exchange a series of papers and tests and regulations must be performed to ensure that there is no fraudulent behavior existing while the business presents itself to business.

Factors that would be important for the government to consider when forming this scheme: 

  1. the leader of the business
  2. results previous dealings
  3. current capital
  4. financial situation
  5. Applicability of suggestion
  6. Potential sales
  7. Any limitations
  8. Potential issues/dangers
  9. Any necessary certificates
  10. Connections or affiliations however small to other businesses.

Australia has much work to do in order to draw in a new breed of businesses. The businesses required would be companies that work with a diverse board of directors who collate their view points in order to manipulate the movements of the larger enterprise. These movements must comprehend the importance of supporting the economic climate and creating a philanthropic culture that perpetuates innovation and entrepreneurship.


Thursday 3 December 2015

What does it mean to persevere?

There's something that I don't think I've covered nearly enough in my blog. It's something that all young lawyers need to know - what perseverance means.


Traditionally we think that perseverance means to continue working where we feel that we have a passion and a goal. Many people believe that perseverance involves doggedly working towards an aspect of our lives that we feel that we should succeed in. They believe that it's a habit of successful people and unsuccessful people lack perseverance.
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sometimes the road ahead seems daunting
But is that all perseverance is?

We read about perseverance in self-help books and write that we 'persevere' in linkedin profiles. But do we truly understand the weight of the word?

In my belief the above isn't what perseverance means, it's a part of it- but perseverance really means building an internal strength. When I think of perseverance; I think of the word as it refers to a passion and a belief that succeeds all emotional and physical hurt, setbacks and other distractions in order to realize a continuing journey of maturity. It's not a mere skill or buzzword. It's a hard and painful lesson that we develop as we mature in our lives and 
It is often a painful experience because perseverance can only exist where there have been failures. You cannot persevere where you have only ever succeeded because that is merely success. To know how to continue working even during the most harrowing of situations is a level of maturity and true perseverance that all lawyers must possess.

Young lawyers especially must work to develop this as the law is a field that demands someone of strong spirit and rationale. While many jokes (particularly in Australia) are shared about lawyers and their wages we must not forget the emotional devastation that is a reality for many judges and lawyers.

It particularly struck me when meeting a chief magistrate in Australia, that the law requires great emotional strength from each legal representative. The magistrate spoke solemnly of the people he had sent to jail and those he had given a second chance. He was teary as he spoke and I could have joined him as I realized the gravity of the sentences given for many were life sentences in disguise remorsefully given.

One story explained that a homeless middle-aged man, living in the streets and raised in an abusive home, had used a bottle to knock out a service station attendee and stole $25. The small amount of money taken from the till was intended for food. Unfortunately the man was shaking so badly he couldn't walk or escape the scene of the crime. The police arrived quickly and the man was taken into custody.

His motivation for doing the crime?

'I hadn't eaten in three days...I was either going to steal something or kill myself.' The statement from any other person would seem over exaggerated, perhaps even falsified. But it was clear this was the reality for that man. His home life was described as shattering and it was clear his chances of getting a job after dropping out in year seven were few. But still the man was sent to prison for two years.

The sentence may appear minimal but prison can have a devastating effect on our vulnerable groups. Not only does it brutalize many people but it leads to difficulty in finding a job and building relationships both vital components of building a stable home life

So how can you continue to aim and strive for a just and equitable world when it is clear our system is fraught with issues?

Perseverance has taught us to take little steps, to continuously balance out our achievements with our
drink, warm, food, chocolate, hungry, happy, struggle, work, depression, perseverance
sometimes a hot drink is just enough to get us through
failures. Most importantly perseverance has taught us to fight through the sea of our failure to reach for our success.

For a long time I struggled with the desire to become a lawyer. Why would I want to become a part of a world where a man with no opportunity will be treated harsher than a man with many? How could I fight against a system that is so set against those who are helpless that even magistrates and judges feel powerless to fight against it? Surely as a mere under aged and beginning lawyer my contribution – any contribution – would be like offering a crumb to a group of starving elephants.

I'm no philosopher, but I have decided that I have reached a conclusion. In-eloquently put; there are many things in the world that are unbalanced. Some of these things are heartbreaking, the way that we view criminals and the disadvantaged. The way that we segregate based on religion, wealth or race. Yet, it is only when, among all of the disappointment, breakdowns and failures, that we continue to strive and persevere to effect some kind of change that we actually create change.

There are many legal greats of our time and of times past. All of them started out as people, people who felt that there was something unbalanced in this world. They all would have felt the daunting and demoralizing weight of institutions. Yet they still stood and worked. They persevered.

I'd encourage all my readers, potential lawyers or not, to continue persevering. It may have broken every belief I had in the law to read the sentences given through Australian courts but it has also helped me to rebuild them. Rebuild them with a foundation in reality and a tenacious belief that continuous perseverance and hard work will, however small, effect change.

Love,


The Underage Lawyer.