Shannon is an experienced landscaper who is employed by Sleek Ltd ('Sleek') based in Victoria. Sleek have asked Shannon to draft a completely new garden design manual. When Shannon commenced work on the garden design manual, she used a template that she had from her previous employer, Leafy Ltd ('Leafy')that was One Hundred pages long, which she and two other Leafy staff members had drafted. When drafting the manual for Sleek, Shannon made the following changes to the Leafy template:

• Deleted five pages which were not relevant to Sleek
• Included five new pages of text that was required by safety standards legislation in Victoria
• Added two pages from other manuals, some of which she had authored and which were publicly available on the Internet
• Created three new pages to cover matters specific to Sleek that included illustrations
• Edited all of the above for style and consistency
• Made a large number of minor stylistic and grammatical revisions suggested by Mr Green who is Sleek's chief landscape designer

The resulting Manual is about one hundred and five pages long and is published on Sleek's internal webpage, accessible to all staff.

Several months later, Shannon's line manager Mr Green calls Shannon into his office for a meeting together with Sleek's in-house lawyer. Mr Green informs Shannon that leek has received a letter from Leafy Ltd claiming that Sleek has breached the copyright subsisting in the Leafy Manual and must cease its use or agree to pay a licence fee.

Required:

1. Please advise Sleek whether there is any basis for a claim of copyright infringement by Leafy. Refer to relevant legislation and case law in your answer.(10 Marks)

PLEASE PROVIDE IN IRAC METHOD