After a number of years as a successful Chartered Accountant at a national firm, you decide to quit the rat race and pursue your true love - yoga. You decide that your neighborhood, Bondi, would be the perfect place to open a yoga studio. Even better, your friend Yogi, a certified yoga instructor, has just moved to town and is willing to teach at the studio. You intend to open the studio, Bondi Yoga, by 1 July 2021. You propose to initially offer 12 classes per week of up to 15 students per class, and to sell floor mats, drink bottles, candles and towels in the reception area. You are also considering offering 'teen yoga' classes for High School students in the area. You will need to hire two casual yoga instructors to take weekend classes.

A work colleague who ran a small skydiving business (called Sydney Skydiving) many years ago has told you about some of the problems she encountered when running that business. You want to make sure that you avoid similar problems: A client was seriously injured when his parachute failed to open because it had been incorrectly attached to his harness by the skydiving instructor. He sued the business and obtained $700,000 in damages. Some customers claimed they were unwell on the day of the scheduled jump, and demanded to be able to transfer their jump to another day. This was very expensive for the business, because it still had to pay the cost of hiring the plane, pilot and staff for a re-scheduled jump. One employee bullied another employee, who sued the business and obtained $15,000 in damages for the cost of psychological counselling and lost wages. Some customers who were initially enthusiastic ultimately refused to jump out of the plane because they became scared after take-off, including children. Many of these customers demanded a full refund, which was very stressful for staff. The business sold souvenirs, including plastic toy planes and parachutes, but customers frequently returned the products and demanded refunds because they broke soon after purchase; however, the supplier refused to refund the wholesale purchase price, which caused your colleague's business to lose money. The business started losing customers after a rival business, called Skydive Sydney registered the domain name 'sydskydive.com.au,' which many customers mistook for your colleague's business. Your colleague's website was 'sydneysykdive.com.au.' The business was forced to close down soon after the global pandemic started because the national lockdown meant that people couldn't go skydiving, so the business had no customers. The business couldn't afford to continue paying the lease on the skydiving equipment and business premises

or employee wages without any customers, and the landlord refused to re- negotiate the lease. Make a report describing the legal risks associated with your new venture, Bondi Yoga, and how you propose to address them.