Ms. Bonn, worked as an accountant for a large firm -XTRA Accounting LLP. She was asked to give her professional opinion for the firm's client Mr. Slim wanted Ms. Bonn's professional opinion as to how he could reduce taxes on his foreign investments and properties in Spain and England. Ms. Bonn had not previously dealt with taxes in Argentina but figured that it was a commonwealth country so the taxes would be similar to Canada, a 25% tax rate over $50,000.00.

Ms. Bonn gave Mr. Slim a memo stating that the most he would have to pay in taxes is 25% on his properties in England. In this memo, Ms. Bonn urged him to sell his investments in the Spanish company Ola Foods. Ms. Smith had wanted to purchase Ola's stocks but the share price was $30.00 a share. If Mr. Slim sold his shares the share price would fall to $10.00. Mr. Slim sold his shares on the Ms. Bonn's advice and Ms. Bonn purchased 1000 shares at $10 a share.

A month later, Mr. Slim received a tax notice that he owed $55,000 for selling his Spanish investments and the properties had a tax rate of 52% not 25%. Mr. Slim was furious and spoke to a lawyer, Ms. Ellis, about a possible lawsuit against Ms. Bonn and her firm.

Mr. Slim wants to sue Ms. Bonn and her firm for the $55,000 tax bill, the money he lost selling his shares and for other costs totalling $150,000.00

0 points

QUESTION 2

a) possible law suit in either torts/contract that Mr. Slim could raise is_________________________ (pick one) (2 marks)

For the toolbar, press ALT+F10

P

1 WORDSPOWERED BY TINY

2 points

QUESTION 3

b) Explain what Mr. Slim would need to prove one of the possible claims (5 marks)

P

5 points

QUESTION 4

c) Ms. Bonn finds out about the potential lawsuit against her and the her firm XTRA LPP. She decides to call up Ms. Ellis to find out what Mr. Slim discussed with her. Can Ms. Ellis discuss what she and Mr. Slim spoke about? Why or why not? _________________________ ( 3 marks)

For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).

Paragraph

Arial

10pt

P

0 WORDSPOWERED BY TINY

3 points

QUESTION 5

d) Ms. Bonn has been an employee of Xtra LLP for 5 years. Mr. Slim can sue Xtra LLP for Ms. Bonn's actions as Xtra is ___________________ for the actions of their employees. (2 marks)

For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).

Paragraph

Arial

10pt

P

0 WORDSPOWERED BY TINY

2 points

QUESTION 6

e) What specific court should Mr. Slim bring his claim and why? ___________________ (2 marks)

For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).

Paragraph

Arial

10pt

P

0 WORDSPOWERED BY TINY

2 points

QUESTION 7

Jenny is the founder of a catering company, Eat, Eat, Eat, and entered into a contract with several businesses to provide lunch to the workers, a perk to get people back to the office.

Jenny made a catering plan of different sandwiches, salads, and drinks (coffee/tea pop and water) and deserts (butter tarts, chocolate cookies). The cost per worker was about $7-11 each. She presented this plan to Levi, the owner of Bubble Computes, a software company that had 50 staff members.

Jenny delivered the agreed menu for 2 weeks. Jenny wanted to meet with Levi and check whether her meals were being enjoyed. Levi was very stressed that day, when he met with Jenny and he said that he ended up throwing away most of the lunches as the workers did not like the food and he was not going to pay her bill.

Jenny got angry and started yelling at Levi. She claimed that Levi had breached her fundamental rights and freedoms that is provided for all Canadians, by not paying her bill. She was going to seek legal advice as to what she could sue Levi for breaching her rights.

For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).

Paragraph

Arial

10pt

P

0 WORDSPOWERED BY TINY

0 points

QUESTION 8

a) Jenny speaks to a lawyer who advises her that she could recover damages for her time and food. This is called __________________ (2 marks)

For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).

Paragraph

Arial

10pt

P

0 WORDSPOWERED BY TINY

2 points

QUESTION 9

b) What legislation is Jenny claiming Levi breached and does it apply to this dispute, why or why not? ____________________________ (4 marks)

For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).

Paragraph

Arial

10pt

P

0 WORDSPOWERED BY TINY

4 points

QUESTION 10