Mr David Lowe has been Mr and Mrs Alan and Colleen Waddy's lawyer for about the past twelve years. In that time, they have moved house four times and Mr Lowe has done the conveyancing for them on each occasion. He also acted for them when they brought a case against a motor dealer, who damaged their car when it was at the dealer for servicing and who made a mess of the bodywork repair. Apart from the professional relationship, they know one another personally, since they attend the same church. Furthermore, Mrs Colleen Waddy has recommended Mr Lowe to a number of her friends in the local CWA group.

The Waddys seem to have settled in their latest home, so Mr Lowe has not done any work for them for the past couple of years. One day, Ms Louise Johnson goes to Mr Lowe's office and asks him to represent her in a dispute she has with Mr and Mrs Waddy. Apparently, the Waddys agreed to sell their car to her (the same one that had been damaged and then repaired) for a very attractive price, but then the following day was told by the Waddys that they had decided to sell it to a friend at church instead. Although there was nothing in writing and she had not paid a deposit, she said that the Waddys had given their word, so she had hastily arranged some finance for the car.

Mr Lowe felt that it was quite in order for him to accept Ms Johnson as his client. He also told her that, even though there was no written evidence of the deal, the Waddys were very honest people and, if it came to the crunch, they would admit to what they said to Louise. Furthermore, although they may seem very stern and dismissive, they hated the thought of going to court, so they would probably agree to some form of settlement. So he advised Ms Johnson to press on and give him instructions to make a letter to the Waddys. When the Waddys received Mr Lowe's letter, they were furious and told Mr Lowe that, if that is how he treats his clients and friends, then they certainly won't have anything good to say about his practice in the future amongst their friends.

Has Mr Lowe breached his duty to Mr and Mrs Alan and Colleen Waddy? Your answer should make reference to relevant common law decisions, legislation and rules where applicable.