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5 Easy Ways to Make Your Small Business More Sustainable

Sustainability has been making its way to the forefront of business models in recent years. It’s no longer just the “nice thing to do” but rather a business imperative. The idea is to adopt initiatives to make the least environmental impact while also increasing financial performance. 
Of course, sustainable practices will differ from business to business. Also, not everyone’s business revolves around a “sustainable” product or service. 
A recent study found that 9 in 10 Australians are concerned for the environment, and consumers want companies to encourage sustainable behaviour.
Small businesses have a unique advantage in being able to adopt these practices with greater flexibility and control. 
Here are 5 easy ways to get started and potentially spark more ideas for your internal sustainable business practices in 2021.  
1. Use Second Hand Items
We’ve all heard it so many times: Reduce, Reuse, Recycle. And one way to do all three at once is using second hand items.
There are so many ways that you can incorporate pre-loved goods into different parts of your business. Not everything has to be brand new. From electronics to furniture, and sourcing materials to specialised equipment, the list goes on. 
But, it’s wherever you can do it. Small changes count, but sometimes buying new or single-use might be the only option. 
Example:  Sean is opening his cafe business soon, and has been collecting second hand furniture for his store. He gets to save a little cash and also curate the perfect vintage aesthetic. 
 
2. Reduce Food Waste 
Whether or not your business is directly related to the food industry, the fact is that, as people, we all eat. That’s why food waste is relevant to everyone, including businesses. 
In Australia, we waste 7.3 billion tonnes of food a year, which is about 5 bags of groceries per person. Yet, 5 million Australians still do not get enough food. 
It’s also not just about saving a few scraps on your plate — lots of waste happens during production, in transport, and through spoilage. So, it’s definitely a larger issue to be tackled.
But the main point is: everyone should be conscious of food waste within a small business context. There are plenty of changes you can make that’ll actually have an impact. 
How to start: The first step is pin-pointing where potential waste happens and preventing it. Maybe it’s that work party with surplus catering, or it’s the untouched concoction of lunches in the office fridge. 
It may be practical for some businesses to get a shared compost bin. It does make some awesome fertiliser! 
3. Curb Commutes
If 2020 has proven anything, working from home and online communication isn’t half as disastrous as we’d all imagined. They even had Zoom court hearings and trials! 
However, it is important to acknowledge that not every industry can work from home and it is a privilege to be able to do so in light of COVID-19. 
So, if you can, promote an electronic way of doing things. Remote work and virtual meetings can reduce pollution, and the overall carbon footprint of the business without much inconvenience.
Riding your bike, walking, or public transport are all great options where possible.
Example: Tina’s workplace has made drastic changes to the business so that remote working is very accessible for her. She stays home most days but when she has to go into the office, she likes to take the train. 
4. Go Paperless
Going paperless usually means that you keep things like documents, receipts and files as a digital record without having the need for a physical copy. 
You can also have all your business files on the cloud. It would be much more accessible for you and your employees, particularly if you are working remotely. It saves space, money and makes business much more efficient. With so much online now, it’s easier than ever. 
Example: Kim has been running a small law practice for a really long time and has printed every document, letter and email to keep on a physical file. He’s also had to rent a separate storage space aside from his office to save the files. 
He never really thought this was an issue because so many other law firms do the same. But now, he is in the process of moving to an online database. He’s looking forward to the convenience. 
5. Look For Little Ways To Improve
Actively seeking to make small changes will add up in the long run. It’s better for many people to make small changes than for one person to be perfectly sustainable. 
These small changes can be as simple as setting a default search engine that will plant trees just by you using it! Maybe you want to switch to a delivery service that buys carbon offsets.
Or you could commit to recycling more — whether it be empty ink cartridges, broken electronics, batteries, paper, you name it. You might also think about donating a small portion of your profits to an environmental program. 
Sustainability Is Here To Stay
Your small business might already be doing some or all of these things, or just starting. Wherever you are in your journey, take pride! It shows you’re committed to taking care of the Earth.
Also, there’s no need to keep your sustainability efforts a secret. Let others know and inspire them to make changes, too. 
A shout-out here to our friends at The Commons; the co-working space in which many of the Sprintlaw team work. They’re doing great work to ensure businesses can base themselves in environmentally aware spaces. 
Environmental consciousness is awesome! 
Co-working space The Commons, where most of our team is based, is committed to renewable energy and sustainability.
Get In Touch
Sprintlaw is a new type of law firm that operates completely online and on a fixed-fee basis. We’re on a mission to make quality legal services faster, simpler and more affordable for small business owners and entrepreneurs. 
If you need any help with your small business legals you can reach us on 1800 730 617 or email [email protected] for a free, no-obligation chat about your needs.
The post 5 Easy Ways to Make Your Small Business More Sustainable appeared first on Sprintlaw.

‘Black Friday’ Is A Registered Trade Mark: Can Other Brands Use It?

Black Friday is known for being the time of the year that businesses offer impressive discounts to customers following Thanksgiving. Naturally, you’d see lots of businesses using the term ‘Black Friday’ to promote their sales, particularly as the day picks up popularity Down Under. 
However, ‘Black Friday’ is actually a registered trade mark in Australia. If your business has used the term in the past week or so, it’s important to know about trademarking and how it can affect you. 
What Is A Trade Mark?
A trade mark is a form of Intellectual Property (IP) that is used to protect your business ideas, brand or logo. It’s a very common way to ensure that no one else steals your IP, and you’d have the exclusive right to the use of that property. 
For example, McDonald’s ‘Big Mac’ has been a registered trademark since 1973. This means the trade mark ‘Big Mac’ belongs to them, and no one else of the same class or category could use it. In a recent case, McDonald’s argued that Hungry’s Jack’s ‘Big Jack’ was registered in bad faith and was “deceptively similar” to McDonald’s trademark (you can read more about this here.)
This is a situation where a business is entitled to take legal action against anyone who appears to be using their registered trademark (or something very similar to it) and is likely to confuse customers. 
They might also demand that they receive the profits generated from the use of any registered trademark as the rightful owners. 
Is ‘Black Friday’ A Registered Trademark?
As reported by the Sydney Morning Herald, Factory X, a national retailer, registered the term ‘Black Friday’ in the class of clothing and fashion in 2007. This means that no other business (at least in the fashion industry) would be able to use ‘Black Friday’ for their own business purposes because it is owned by Factory X. 
However, there is one small problem. ‘Black Friday’ is a very common term used for the popular November sales. There’s no doubt you’d have seen a few stores here and there use the term on their websites and social media. 
Nonetheless, Factory X is planning to take legal action against other fashion retailers and brands who have used Black Friday to promote their sales. In addition, Factory X’s legal notices also state their intention to ‘recover the profits generated during the Black Friday sales’. 
While they are entitled to take legal action, it can be inconvenient for the businesses who use the term for their advertising efforts. Not to mention, using the term itself can be seen as common business practice during this time of the year. 
Harvey Norman attempted to have ‘Black Friday’ removed from the IP Australia register, however this was unsuccessful with IP Australia. 
Can I Oppose A Trade Mark?
There are many ways to go about trade mark oppositions and infringements.
A popular example of a trade mark infringement is the case with In N Out. When Australian food chain Down N Out was introduced, In N Out argued that their name and logo was too similar to their registered trademark and would see customers associate the name with the American food chain. 
Generally speaking, a trade mark can be removed on the grounds that it is not distinctive. Since ‘Black Friday’ is very commonly used as part of the sales period, Factory X could have a weaker claim. 
But, as IP lawyer John MacPhail pointed out in the Sydney Morning Herald’s article, it could be difficult to remove the term ‘Black Friday’ from the IP Australia register. Businesses would have to prove that the term itself is generally accepted within the industry. Black Friday is more popular within the US than it is in Australia, so this could be a significant hurdle. 
Need Help?
If your business is navigating through the world of trade marks in any way, Sprintlaw can help. We have a team of experienced lawyers who know the ins and outs of trademarking, and can offer some valuable advice if you’ve found yourself in a trade mark opposition. 
Feel free to reach out to us at [email protected] or contact us on 1800 730 617 for an obligation free chat. 
The post ‘Black Friday’ Is A Registered Trade Mark: Can Other Brands Use It? appeared first on Sprintlaw.

Marketing Your Business Online: A Legal Guide

Marketing your business online is becoming increasingly important. It’s a good way to connect with your target audience, attract new customers, and grow your business. 
But what does online marketing mean for your business’ legals? When you market your business, products or services online, it is important you know what your legal obligations are. There are a few major areas that you may want to review to make sure your processes are up to scratch.
In this article, we’ll run through a checklist of everything you need to know when it comes to online marketing: 
Your responsibilities and obligations when it comes to advertisingHow to protect your customers’ personal informationAvoiding spam when sending out electronic communicationsHow to properly use and protect your business’ intellectual property (IP) and make sure you don’t infringe someone else’s IP
Navigating The World Of Advertising
Online advertising can be an extremely effective and useful way to promote your business. Done well, you can grab the attention of potential customers and encourage them to buy your products or services. It can also help to promote your business by creating brand awareness with people that might be interested in what you have to offer.
But there are limits on the ways in which you can go about advertising your business. It’s important for you to understand these restrictions so you can avoid breaching the law and subsequently facing hefty penalties or fines.
Avoid False Or Misleading Statements
When promoting your business, it is crucial that the information shared — whether it’s a statement, quote, representation, or other communication — is true, accurate, and can be substantiated. 
The Australian Consumer Law (ACL) makes it illegal for your business to make false or misleading statements about the standard, quality, value, age, nature or price of your goods or services. This applies even if you include fine print or disclaimers.
For example, ABC Coffee sells coffee beans that come from several sources. They falsely advertise in large print that their coffee beans come from a single origin, but include a disclaimer in fine print stating that the beans are a blend. It is unlikely that ABC Coffee will be able to rely on this disclaimer to claim their conduct is not misleading. Rather, the advertisement could constitute a false or misleading statement in breach of the ACL.
Managing Online Reviews
Conducting research into a business often helps consumers decide whether they should purchase a product or to work out if a service is right for them. In this way, online reviews can be a handy tool for your customers.
As a business owner, it’s your responsibility to manage and moderate these reviews to make sure that consumers are not misled. If you are aware of any fake reviews relating to your business, products, or services, it is important that you remove them. Not doing so will likely breach consumer protection laws. 
Here are a couple tips for spotting fake or misleading reviews:
1. Look at who wrote it
Reviews about your business (including a product or service you offer) that have been written by the following people are likely to be fake or misleading:
You or one of your employeesA competing business owner or one of their employeesSomeone that has been paid to write a review without having used the product or serviceA person that has used the product or service, but has been offered a benefit (whether financial or non-financial) to make it seem better than it was
If your family members or friends write a review, they should disclose their personal connection with your business. This will help minimise the risk of the Australian Competition and Consumer Commission (ACCC) finding the review to be misleading.
2. Look into the appearance of similar accounts or similar language
Reviews may be fake if the accounts of the individuals writing them have similar identities, such as email addresses, usernames, or IP addresses.
Additionally, if there are a number of reviews for your business (including a product or service you offer) that adopt similar language or turns of phrase, they may be fake. This may also be the case if the language adopted is overly positive or uses marketing lingo.
Can You Offer Incentives In Exchange For A Review?
Yes, but it must comply with the guidelines established by the ACCC. The incentive offered should be available to customers regardless of whether the review is positive or negative. This should be made clear to the reviewer when the offer is made. If you only offer incentives for positive reviews, you risk breaching consumer protection laws by misleading consumers.
What If Your Business Has A Commercial Relationship With A Review Platform?
In this case, it is a good idea to disclose this relationship as it can have an impact on how your business appears to consumers. 
For example, some review sites may push positive reviews to the top of the list, while others may prevent negative reviews from being published automatically. These processes can create the impression that your overall rating is better than it actually is. 
By letting consumers know about your relationship with a review platform, they can make more informed purchasing decisions and you can minimise your risk of deceptive or misleading conduct.
You can read more about what you can and can’t do with online reviews here 
Using Social Media To Advertise
Using social media is a great way for businesses of all sizes to interact and engage with customers. 
The same consumer protection laws apply to social media as with other channels or forms of advertising. This means that you have a responsibility not to make any false or misleading claims. You should also keep in mind that you can be held responsible for posts and comments made by other people on your business pages.
For example, a customer posts a comment on your Facebook page about one of your products. You know the comment is untrue, but it’s gaining a lot of traction and more people are buying your products so you decide not to remove the comment. This is likely to breach consumer protection laws as it is false and likely to mislead consumers. 
While using social media to advertise your business may look and feel more casual, don’t forget that consumer protection laws still apply. It’s best to avoid making statements on your social media pages that you wouldn’t make if using another form of advertising. 
Stay on top of your social media pages and profiles, making sure to remove any posts that could be false or misleading as soon as possible. 
Offering Prizes & Giveaways On Social Media
It’s common to see brands offering prizes and giveaways, particularly on social media, in order to increase their audience reach. If this is something you are considering for your business, it is important to understand your obligations.
In particular, it is unlawful to mislead your audience about what items you are offering or their chances of winning or receiving the items. Additionally, if there are certain conditions that entrants need to meet in order to claim a prize, they must be disclosed at the outset of the promotion.
Safeguarding Customer Information & Privacy
It’s important to make sure that you are protecting your customers’ privacy. 
In Australia, if your business has an annual turnover of more than $3 million, you will need to have a Privacy Policy in place in order to comply with the Privacy Act 1988 (Cth) and the Australian Privacy Principles (APPs). A Privacy Policy is optional for smaller businesses, but having one is a good idea: not only will it help you build trust with your customers, but you’ll also have it ready when your business grows. Find out if your business needs a Privacy Policy here.
A Privacy Policy lets your customers know what rights they have in relation to their privacy and personal information. It should outline how your business collects, manages, stores, uses, and discloses the personal information of your customers. 
What Is The GDPR?
As the internet has no real borders when it comes to where your business operates, you will also need to be aware of your obligations outside of Australia.
The General Data Privacy Regulation (GDPR) is a European Union (EU) law that can impact businesses all around the world. It is a set of data protection requirements that applies to any data collected from an individual in the EU, even if the data is processed elsewhere. Essentially, if your business has customers — whether existing or potential — in the EU, you will need to be aware of your responsibilities and obligations under the GDPR. 
If your business already complies with Australian privacy laws, this is a great start for  compliance with the GDPR and you may only need to make a few minor changes — be sure to check with a lawyer.
Direct Marketing And Electronic Communications
As a general rule, your business cannot lawfully use personal information to directly market to individuals unless an exemption applies under the Australian Privacy Principle 7, which forms part of the Privacy Act.
One of these exceptions applies if your business directly collects the personal information from the individual and they expect it to be used for direct marketing.
If you choose to contact customers directly using electronic communications (such as via email, SMS or MMS), it is important that you are aware of your obligations under the Spam Act 2003 (Cth).
Do You Have Consent?
Before you send someone marketing messages or emails, you will need to make sure you have their permission. This is often done through an email signup form or by asking individuals to tick a box next to a statement that gives their consent for that business to send them direct messages.
You should keep a record of when and how a person has given consent to electronic marketing communications.
What Does Your Message Need To Include?
Under the Spam Act, your business must be easily identifiable in any direct communication you send.
For emails, this involves having your business’ name in the ‘from’ field or subject line, as well as in the body of the email. Additionally, emails sent should include your business’ website and contact details.
Similarly with SMS and MMS marketing, it is important to ensure that your business’ identity is clearly identifiable to customers when they look at the message’s sender information.
Is There A Way To Opt Out?
You will need to include an easy way to opt out or unsubscribe from receiving electronic communications in every commercial message you send.
Some ways you may be familiar with include:
A link at the bottom of EDMs that direct you to unsubscribe from the mailing listA sentence included in SMS or MMS marketing messages that prompt customers to “reply STOP to opt out”
These options to unsubscribe or opt out from further communications should be functional for at least 30 days after the message is sent.
If a person chooses to unsubscribe from marketing messages, you will need to honour their request within 5 working days.
Quick tip: If your customers haven’t given you permission to send them marketing emails, it’s more likely that they will mark your emails as spam. The more this happens, the more likely it is that email systems will flag your emails as spam or block emails you send, meaning that they won’t reach your customers.
Want to know more about the difference between direct marketing and spam? Check out our in-depth article here or get in touch to chat to one of our lawyers.
Intellectual Property Considerations
Intellectual property (IP) is valuable to any business. Things such as your business name and logo are important marketing assets that can help give you an edge over and stand out from your competitors.
As a business owner, you wouldn’t want anyone to misuse, or infringe on, your IP. So it’s not only important to make sure you protect your business’ IP, but also that you use other peoples’ IP in the correct way.
Protecting Your Business Name, Logo And Other Branding Assets
The protection of your business’ IP is important as it provides you with exclusive rights to use those assets and prevents others from using it without your permission.
In Australia, copyright laws automatically protect unique ideas that have been expressed in some material form, such as in writing, a video, or software code. Because copyright protection is automatic, you don’t need to register copyright in Australia.
Unlike copyright, trade marks will need to be registered in Australia. Trade marks are usually something that can identify a business, product, or service. This includes things such as your business name, logo, catchphrase or even colour! 
Read more about the differences between copyright and trade marks.
It’s a good idea to register your own trade marks so that no other business can use it in the same way. A registered trade mark gives you exclusive rights to use it for up to 10 years in Australia.
But before you do this, you will need to make sure that you’re not using a trade mark that has already been registered under a business and infringing their IP. You can check this by doing a quick search on IP Australia.
Quick tip: You are responsible for managing and protecting your business’ IP. This means it’s up to you to monitor whether someone else is infringing your IP and enforcing your rights.
What About Your Website Domain?
Another thing to think about is protecting your website domain. When you set up a website for your online business, you’ll need to choose a domain name. This will often be the same as your business name. If it isn’t, it should still be easily recognisable and connected to your business.
In Australia, domain names are leased for a period of time. Once this period is up, the domain name becomes publicly accessible. If you don’t renew your domain name in time, someone else may lease or purchase it. You will lose access to the domain name with which you have built up your business’ reputation and your customers may be confused or have trouble finding your website.
One way to minimise this risk is by registering your business’ trade marks. If someone else tries to register a domain name that is substantially identical or deceptively similar to your trade mark, you may be able to object to its use.
Can You Use Music In Your Marketing Activities?
When it comes to using music, such as in advertisements, you will need to get a licence from APRA AMCOS. APRA AMCOS is a music rights organisation that oversees licensing in relation to playing, performing, copying, and recording the music of its members.
Want To Find Out More?
This article has covered a range of issues surrounding online marketing. From helping you make sure your advertising is not misleading to updating your privacy policy and protecting your IP, Sprintlaw has a team of friendly and experienced lawyers that are ready to help! 
If you would like a consultation on your options going forward, you can reach us at 1800 730 617 or [email protected] for a free, no-obligations chat.
The post Marketing Your Business Online: A Legal Guide appeared first on Sprintlaw.

You Can’t Ask That! Illegal Questions In Interviews

So, you’re looking to hire someone new to join your team. But where do you start and how do you know what to look for in a candidate? 
Working out the right questions to ask a potential employee during a job interview is essential. After all, the interview process is often a very useful way to figure out if someone is suited for the job opening you have. Not only is it a good idea to avoid questions that candidates may have prepared and rehearsed, but also those that could offend someone or even lead to you missing out on the best person for the job!
What types of questions should you be asking? A handy way to assess the character of a prospective employee is to get them to demonstrate their initiative and resilience, as well as their willingness and ability to adapt to different situations and challenges. Ask questions about previous experiences in which they’ve had to overcome challenges, as well as situations in which they have had to work in, or lead, a team.
But what kinds of questions are illegal? In Australia, discrimination laws generally mean that it is unlawful to ask questions that reveal information about someone’s personal life that could lead to their discrimination on the basis of some specified attributes. These include, but are not limited, to:
AgePhysical and/or mental disabilityRaceReligionSex, gender identity, or sexual orientationRelationship status, pregnancy, or family responsibilities
Essentially, it is best to avoid questions that relate to the personal life of a prospective employee that are irrelevant to their ability to perform the job you’re hiring for. Asking these questions can make it appear that the successful candidate will be chosen according to an impermissible and discriminatory factor. Whether intentional or not, this could leave you and your business vulnerable to legal action for workplace discrimination.
Questions About Age
In most cases, it is unlawful to ask a candidate how old they are. If they are treated less favourably because they are deemed “too young” or “too old” for a job, it may amount to age discrimination under the Age Discrimination Act 2004 (Cth).
Of course, there are some exceptions to this rule, particularly if a person’s age means that they are unable to perform the inherent requirements of a job. 
Example A
Joe is 17 years old. He applies for a job at a bar. Because a person must be at least 18 years old to work with alcohol, it would not be discriminatory for Joe to be refused employment because he is too young.
Example B
Katie is 15 years old and applies for a job as a delivery driver at her local pizza shop. As Katie is not yet eligible to obtain her driver’s licence, it would not be unlawful for Katie to be refused the job because she is too young to drive.
If you wish to avoid direct questions about age, you could try asking something such as, “This job requires you to hold a valid RSA. Would this be a problem for you?”. Alternatively, you could make a job offer after, or contingent on, the production of documentation such as a valid RSA or driver’s licence. By doing this, you are also protecting your business from claims that you have used identity or other formal documents to calculate the age of a candidate, and subsequently ruled them out on these grounds.
Questions About Medical Conditions, Injuries, Etc.
The Disability Discrimination Act 1992 (Cth) makes it unlawful to discriminate against someone based on disability. This covers individuals who have both temporary and permanent physical and/or mental disabilities, physical disfigurement, medical conditions, and work-related injuries. It also protects people with disabilities who may be accompanied by an assistant, interpreter, reader, or assistance animal, as well as those who use equipment and aids.
What does this mean for you? Basically, to avoid instances of unlawful disability discrimination, you should not ask candidates questions about whether they currently have, or previously had, any medical conditions, injuries, or illnesses. In addition to this, don’t ask candidates if they have previously filed for workers’ compensation.
There are some circumstances in which certain questions may be permissible if they directly address an individual’s ability to perform the inherent requirements of the role. For example, you could ask, “Do you have any medical conditions that would mean you are unable to lift heavy items?” or “Is there any reason you may not be able to complete the duties required in this position?”. These questions must be confined to the candidate’s ability to perform the role and related to its subsequent impacts upon their health — going beyond this scope could result in illegal disability discrimination.
Questions about race, national origin, and religion
Discussions around race and asking a person “Where are you from?” have been thrown into the spotlight this year, especially alongside the global Black Lives Matter movement. Questions around race, national origin, and ethnicity can often be very loaded, personal, and can even make the person you’re asking feel uncomfortable. In the majority of cases, these factors shouldn’t impact upon whether a candidate is able to complete the inherent requirements of a job. 
Basing a decision about whether or not to hire a person on this question is illegal under the Racial Discrimination Act 1975 (Cth). In a similar vein, it is unlawful to ask a job applicant if they follow a religious belief and subsequently use their answer to inform your decision. 
A handful of exceptions do exist, but are few and far between. For example, some jobs may require a person to have cultural connections with Aboriginal and Torres Strait Islander heritage, or with some religious organisations. 
One important thing for you to ensure is that a candidate can work in Australia. In this case, it is permissible for you to ask if they have the right to work in Australia and require evidence of this, if necessary.
Questions About Relationships And Family
You should avoid questions relating to a candidate’s sex and gender identity, sexual orientation, relationship status, family and carer responsibilities, and whether they are pregnant or might be pregnant. Yep, it’s a long list, but asking applicants questions along these lines can amount to discrimination under the Sex Discrimination Act 1984 (Cth).
Example C.
Angela has applied for a job at a media agency. During the interview, Angela is asked, “Where do you see yourself in 3 years?”. Angela mentions that she would like to have a child. Although highly qualified for the job, Angela is refused the job because she would need to take maternity leave. 
Questions such as “How do you balance work and family commitments?” and “Do you have children or are you planning to have children?” imply that a person’s family responsibilities are relevant to whether or not they are successful. Whether someone has children or other dependents (e.g. disabled relatives or elderly parents), doesn’t have children, plans to have children, or not to have children, ultimately shouldn’t affect your decision to hire them and definitely should not be the reason upon which you rule them out. 
In addition to this, asking questions about a candidate’s relationship or marital status is unlawful, as it is irrelevant to their ability to perform the inherent requirements of a job. 
Other Unlawful Questions
Can you ask a candidate if they use drugs or alcohol?
In most cases, no. 
There may, however, be some situations in which the consumption of alcohol or drugs may be relevant to a job. For example, if a candidate is taking medication that may impact their ability to drive or operate machinery as part of the role, asking such a question may be legitimate. 
What about if they have a criminal record?
This answer depends on where you are based. Although federal law doesn’t prohibit questions on this issue, the laws vary between states and territories. In this case, we recommend seeking professional legal advice to make sure you know and understand your obligations. 
It is becoming increasingly common for businesses to require candidates to undergo a criminal history check before they are offered a job. If this is a practice you choose to adopt, it is important that you understand how to use information obtained properly and lawfully. 
Generally speaking, if a candidate has a criminal record, the conviction must be relevant to the job. For example, Sarah is applying for an office job. A conviction for a drink driving offence would not be relevant to this job. In contrast, Marc’s conviction for theft may be relevant to his application to work in a role that involves handling money.
Can you ask whether applicants are currently working?
Applicants can’t be refused a job on the grounds that they are already employed, are unemployed, or are receiving benefits. 
However, as a business owner, it is crucial to find out when a prospective employee can start the position you are advertising. If they are currently working, they may need to give notice to their existing employer before jumping on board. In this case, you could ask something like, “When are you able to start?”. 
Can you ask a prospective employee if they are a member of a union?
Under the Fair Work Act 2009 (Cth), it is unlawful to discriminate against someone based on their membership to, or affiliation with, a trade union. As a result, it is best to avoid questions relating to union activities. 
Where To From Here?
We’ve shared with you some illegal questions to ask candidates in a job interview. Time to jump in and find the best person for the job! 
From working out the best lawful questions to ask, to drafting employment contracts, Sprintlaw has friendly and experienced lawyers that can help you through the legal processes involved with hiring a new member of your team!
If you would like a consultation on your options going forward, you can reach us at 1800 730 617 or [email protected] for a free, no-obligations chat.
The post You Can’t Ask That! Illegal Questions In Interviews appeared first on Sprintlaw.

Working Overtime: What You Need To Know

If you’re a small business owner and need to ‘get the job done’, sometimes it may feel as though employee overtime is the only option. 
When you’re requesting that an employee work overtime, it must be a reasonable request. If it is unreasonable, your employee may refuse to work overtime. 
Dismissing an employee for refusing to work overtime is a highly unlikely option following the 2019 Currie Case. 
As a small business owner, it is vital that you consider whether employee overtime is the best option. 
Read on to better understand what you need to know about your employees working overtime.
What Is Overtime Work?
According to the Fair Work Ombudsman: 
Overtime work is work performed outside of the ordinary hours listed in an award or agreement andOvertime work is usually paid at a higher rate. 
Further, overtime work includes: 
Work done beyond the ordinary hours of work Work done outside the agreed number of hours and Work done outside the spread of ordinary hoursFor example: 9am-5pm.
Can Employees Be Made To Work Overtime? 
In short, no. 
However, in accordance with the Fair Work Act 2009 (Cth), an employer can request that an employee works reasonable overtime. 
Reasonable overtime can be achieved so long as the following are taken into consideration: 
Any risk to your employees’ health and safety from working extra hours Your employees’ personal situation, including their family responsibilities Your workplace’s needs If your employee is entitled to overtime pay or penalty rates for working extra hours If your employee is paid at a higher rate on the understanding that they work overtime If you gave your employee enough notice that they may have to work overtime If your employee has already stated that they can’t ever work overtime The usual patterns of work in your industry
If you fail to take into account the above, your request for your employee to work overtime may be unreasonable. 
If your request to work overtime is unreasonable, then your employee can refuse to work overtime. 
What Else Should I Consider When Working An Employee Overtime?
If you have established that it is reasonable to request your employee to work overtime, that is great! However, there are still some other things you should consider. 
1. Higher Pay For Working Overtime 
Usually, employees are paid at a higher rate for working over time. 
If overtime rates apply to you and your employees, it will be dependent on what award, enterprise agreement or other registered agreement applies. 
You can search whether overtime applies in your award here.
Managing Health And Safety 
2. Managing Health And Safety
Working long hours can be taxing on your employees’ health and safety. 
SafeWork Australia encourages appropriate break times to ensure your employees health and safety. 
It is important to continuously monitor the work environment to best ensure your employees health and safety when working overtime. 
Can I Dismiss An Employee If They Refuse To Work Overtime?
The simple answer is no.
In the case of Currie v The Trustee for B&S Hambleton Trust T/A Perfect Coat Painting it was held that a 2nd year apprentice, Mr Currie, was unfairly dismissed for refusing to work overtime on a Sunday. 
The Commissioner found that it was not reasonable to require Mr Currie to work on the Sunday after already having worked six days that week and overtime on the Saturday. 
In January 2020, the Fair Work Commission ordered Mr Currie’s former employer, Perfect Coat Painting, to pay Mr Currie eight weeks’ wage. 
Currie v The Trustee for B&S Hambleton Trust T/A Perfect Coat Painting not only highlights that it is unreasonable to dismiss an employee for refusing to work overtime but, too, the importance of understanding when it is reasonable to ask your employees to work overtime. 
Unless your employee has engaged in conduct that seriously breaches their employee obligations, dismissing your employee for refusing to work overtime is a highly unlikely option. 
Is Making Your Employee Work Overtime The Best Option? 
While having your employee work overtime might get the job done, it is important to assess the adverse impacts of working overtime. 
Working overtime can decrease productivity and efficiency. It can also lead to significant stress and take away from your employees work-life balance. 
Here, it is important to assess how often your employee works overtime. If they are working overtime as a one off, it is unlikely to impact your employee to a significant extent. However, if your employee works overtime persistently, even if it is reasonable, it is important to consider the impacts it may be having. 
Further, working overtime is sometimes associated with job dissatisfaction. Sustaining a positive work environment with high job satisfaction increases productivity and success for your business. 
It is vital that you are aware of the impacts associated with working overtime to ensure the sustainability and success of your employees and business. 
Summary 
If you need your employee to work overtime it is important you take the following steps: 
Take into consideration whether it would be reasonable to request your employee to work overtimeEnsure the continuous health and safety of your employee when working overtimeDetermine whether your employee is entitled to a higher pay rate for working overtime 
Further: 
If your request for your employee to work overtime is unreasonable, they may refuse to work overtimeYou can not dismiss an employee for refusing to work overtime Consider whether making your employee work overtime is the best option for your employees and your business
Need More Help? 
Reach out to our team for a free, no-obligations chat at [email protected] or 1800 730 617.
The post Working Overtime: What You Need To Know appeared first on Sprintlaw.

I’m A Startup Founder: When Can I Start Paying Myself?

If you’ve just launched your own startup, you’re probably eager to start all the exciting parts of your business journey. Once it’s up and running, and money starts flowing in, an important question to ask yourself is, ‘when can I pay myself?’
Usually, startup founders don’t prioritise paying themselves in their business’ early stages. This is generally due to other responsibilities involved in a business’ journey, but there are other ways you can pay yourself without compromising your startup’s success. After all, you do want to reward yourself for your hard work. 
When Should I Start Paying Myself?
When you’re deciding when to pay yourself, you’ll need to ask yourself a few questions: how much money have you raised so far? Are you planning to hire any co-founders? But, before we jump into salaries, it’s important to choose a suitable business structure. 
Sole Trader Or Partnership
Your business structure will determine how and when you can pay yourself, and this should be in writing. If you’re after a simple set-up process with minimal fees, your best bet is to adopt a sole trader or partnership structure. It’s likely that you’ll treat yourself as an employee and will be paid as such. 
In a partnership structure, it’s important to have a Partnership Agreement that sets out whether you will pay yourselves as employees and what will happen if the business relationship breaks down (we’ve written more about this here). 
Company
On the other hand, a company structure has a lower level of risk and you can appoint yourself as director. This will provide more protection from liability, but it can be a bit more complex and demanding to set up. Under this structure, you could be both a director and a shareholder, meaning you’d need a Shareholders Agreement (we’ll cover this shortly).  
After you’ve decided on your business structure, the next question is:  ‘Am I treating myself as an employee or director?’
Whether you’re an employee or director will determine how you can pay yourself. Let’s have a look at some options. 
I’m Treating Myself As An Employee
The most important consideration is whether you will treat yourself as an employee of the startup. If the answer is yes, then you’ll be entitled to minimum wage requirements under the Fair Work Act 2009. This means that you’ll need to pay yourself, just as you would any other employee. 
This also means that there are consequences for not paying yourself according to these employee standards. 
However, if your startup’s budget is a little tight, you may be able topay yourself in the form of shares. This is known as a Sweat Equity Arrangement. 
What Is A Sweat Equity Arrangement?
When employers cannot afford to pay their employees for their work, they may be able to issue them shares instead. Put simply, it’s how a startup compensates their employees for their labour when cash isn’t exactly an option. 
We recommend you speak with a lawyer before implementing a sweat equity agreement, as there may still be issues with minimum wage if this is how you are paying employees.
Sweat Equity Agreements are pretty common in startups because they’re not exactly flowing with profit in the early stages. This way, you can still reward and compensate employees for their efforts through ownership without worrying about not having the money to pay them. 
If you’re a founder, but treating yourself as an employee, you may be able to pay yourself in the form of shares. 
This arrangement can be pretty complex, so it’s a good idea to have it in writing. The Sweat Equity Agreement should generally cover:
How much equity the employee will receiveWhat the employee specifically needs to do in order to receive equity MilestonesTerminationWhether there are vesting provisions
We’ve written more about Sweat Equity Agreements here.
I’m Treating Myself As A Director
Rather than receiving a salary as an employee, you could pay yourself as a director: these are called directors’ fees. Put simply, these fees compensate the director for the services they provide to the startup (but these fees are subject to tax and superannuation, like a regular salary). 
It’s best to  make sure that the specifics of this agreement are covered in a Company Constitution,  Founders’ Term Sheet or Shareholders Agreement. Some key terms could include:
Founders’ dutiesAny travelling costsOther expenses involved in directors’ activities 
It’s important to note that a Founders’ Term Sheet is not legally binding. It sets out the general agreement before you make a legally binding agreement later down the track. 
Can I Also Be A Shareholder?
The answer is yes, you can be both a director and shareholder (ASIC goes through the role of a director here). 
This means you would receive dividends as a shareholder in the company. 
A Shareholders Agreement for this situation should generally cover:
Your responsibilities and roleWhat shares can be issuedHow shares will be allocated
Can I Redirect My Wage Into The Startup Instead?
Many directors want to ensure that their startup can get the most help possible. Thankfully, there are some options that allow directors to put their money into the startup rather than paying themselves.
Directors’ Loan: this allows the startup to borrow money from the director’s wages/fees (remember that a company is a separate entity, so they can borrow money and be liable for it). Authorised Deduction: under the Fair Work Act, directors can deduct money from their wages to go to the startup instead (but like most official things, this needs to be in writing!)
However, there may come a point where you do want to start paying yourself a market rate salary. In this case, you might need to accept an equity dilution. 
How Does Equity Dilution Work?
If you want to start paying yourself a market rate salary, you may need to sacrifice some ownership. You could issue new shares in the company, meaning that your ownership is diluted. An important question to ask is whether you’re willing to sacrifice some ownership for your salary as director. 
This is an important decision, and definitely an option you could be looking at further down the track. If you need some help, Sprintlaw has a team of lawyers ready to chat about your options. 
Next Steps
The early stages of the startup journey can be risky, but this doesn’t mean you need to commit to the business without receiving anything in return. You have certain options when it comes to paying yourself, but it’s a good idea to get in touch with a lawyer who can help you choose which option is most suitable for your situation. 
You can reach out to us at [email protected] or contact us on 1800 730 617 for an obligation free chat.
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Can I Take Action Against My Employee For Expressing Their Political Views?

The COVID-19 pandemic, the 2020 US Election, climate change, Black Lives Matter protests — there is so much going on! 
It is highly likely that many of your employees will have an opinion on the current state of affairs.
Your employees’ political views may be impacting the culture in your workplace or perhaps negatively representing your business on social media. 
So, can you do anything about your employees expressing their political views? 
Read on to find out.
Right To Freedom Of Opinion And Expression 
In Australia, there is no Commonwealth legislation containing a general right to freedom of expression. 
However, the High Court of Australia has acknowledged that Australians have an implied freedom of political communication through the Australian Constitution. 
What this means is that Australians have a general implied freedom to express their political views. 
So, does this mean that your employee can do whatever they want to express their political opinion? Not quite. 
Restrictions on political communication still exist. 
For example, under the Criminal Code 1995 (Cth), using violence to express a political opinion is an offence.
Employees Protection Against Discrimination 
Under the Fair Work Act 2009 (Cth), employers are prohibited from discriminating against employees for expressing their political opinion. 
A political opinion includes: 
Membership of a political party, Expressed political, socio-political or moral attitudesCivic commitment 
However, the Fair Work Act 2009 (Cth) also states that where an employee’s views or opinions are ‘unauthorised and inconsistent’ with the employee’s role or the organisation’s values, then the employer may take action. 
For example, Michaela Banriji, a former public servant for the Department of Immigration and Border Protection, was dismissed after posting a tweet criticising the Department of Immigration and Border Protection immigration policies. 
Ms Banriji argued that this infringed on her implied right of freedom of political communication as well as her right not to be discriminated against for expressing political opinion. 
However, the High Court held that because Ms Banriji’s political opinion was directly contrary to the department she was serving, her dismissal was appropriate. 
Further, the Australian Fair Work Commission states that if an employee expresses their political opinion, they are protected against adverse action in their workplace. 
However, this protection does not extend to politically motivated acts of violence. 
Acts of violence may include: 
Rioting Physical harm Threats of coercion
So, What Does This Mean For Small Business Owners? 
Put simply, if your employee wishes to express their political opinions, they have a general implied right to do so. 
However, if your employee expresses their political views in a violent manner, or in a way that is contrary to your employees role or your business’ values, then perhaps action can be taken. 
What If My Employee Is Making Controversial Political Statements In The Workplace?
Perhaps your employee is making controversial political statements in the workplace and it is throwing your business’ workplace culture out of whack. 
Here, it is really important to consider: 
What political statement are they making? How are they making this political statement?Is this political statement ‘unauthorised and inconsistent’ with the employee’s role or your business’ values?Is this political statement being expressed in a violent way? 
Applying the law, unless your employee is expressing their political opinion in a violent manner or contrary to their role or your business’ values, then they maintain an implied freedom to communicate their political opinion in the workplace. 
Whilst you may not be able to take adverse action, it is important to consider positive mechanisms you can put into place such as: 
Emphasising respect in the workplace Encourage your employees to be understanding to other employees’ beliefs and idealsRedirecting focus to your employee’s role in your business 
My Employee Is Posting Questionable Stuff Online, What Can I Do?
If your employee is posting questionable content online, it is again important to consider: 
Is the post ‘unauthorised and inconsistent’ with the employee’s role or your business’ values?Is the post being expressed in a violent way? 
In 2018, former Tasmanian government relationship manager for Cricket Australia, Angela Williamson, was dismissed from her role following tweets made expressing her political view on Tasmania’s abortion services. 
Cricket Australia claimed that Angela WIlliamson was dismissed for neglecting key requirements of her role to facilitate a strong relationship with the Tasmanian Government. 
In response, Angela WIlliamson aimed to sue Cricket Australia, claiming that she had been unfairly dismissed in accordance with the Fair Work Act 2009 (Cth). 
In the end, both Cricket Australia and Ms Williamson opted to avoid costly legal bills and settled outside of Court. 
Similarly, Israel Folau claimed unfair dismissal after his contract with Rugby Union Australia was revoked following expressing his views on same-sex relationships via his personal social media. 
In both of the above instances, the employer was under the impression that their employee was acting in an inconsistent manner to their role or the organisation’s values when expressing their political views on their personal social media pages. 
With these cases in mind, it is clear that dismissing an employee for their political views can get a bit complicated.
This is why understanding the law and encouraging appropriate political communication can be really helpful. 
As a small business owner, it is important to be mindful that your employees have an implied right to be free to communicate about their political views. Taking action against an employee for expressing their political view on social media that is not expressed violently is not an option. 
However, if your employee is posting ‘unauthorised and inconsistent’ content with their role or your business’ values, then perhaps action can be taken. 
Need More Help? 
Living in such controversial times can lead to an influx of political opinions in the workplace. 
Knowing in what instances you can and cannot take action against an employee for expressing their political views is really important. 
If you need more help, it may be a good option to speak with a lawyer. 
Reach out to our team for a free, no-obligations chat at [email protected] or 1800 730 617.
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What Can Your Workplace Do About Family Violence? We Speak To The Institute Of Non-Violence

Recognising and responding to family violence in the workplace may not be something that all employers have considered in their workplace policies. 
However, domestic and family violence is a huge problem in Australia, with the Australian Institute of Health and Welfare reporting 2.2 million Australians are survivors of physical and or sexual abuse by a partner, and 3.6 million Australians have experienced emotional abuse by a partner. 
Workplaces can make a difference in these outcomes — beyond the obvious of providing a safe space and financial independence for the many victims of domestic and family violence who are in paid employment. 
The Institute of non-violence (IoNV) was launched today to look at the practical steps employers and staff can take to address the impacts of family violence, both internally and externally.
Sprintlaw client Hala Abdelnour is heading up the initiative, so we caught up with her to learn more about how employers can create supportive workplaces. 
Hala is trained in psychology and social work, and is a consultant known for running ‘Global Echo’, a company which teaches all kinds of workplaces about diversity and inclusion. As well as running workshops, Hala reviews or drafts policies about diversity and inclusion in the workplace to ensure cultural safety.
In Hala’s words:
“Employees want to feel valued, appreciated and be encouraged to be themselves. That’s what makes a happy employee. When their skills are not just seen and valued in money but other ways too.”
Lately, Hala has noticed an uptick in employers becoming interested in having better policies around staff affected by family violence.
The Institute of non-violence is a brand new business created specifically to help workplaces recognise and respond to staff and customers who may be perpetrators or victims of family violence. Its core belief is that a supportive and safer work culture will lend itself to someone being better able to disclose violence. But, to do this, workplaces need to have the right processes for family violence disclosure.
Hala goes further, looking deeper at the intersectionality of the workplace with an individual’s experiences. It’s important to consider how an individual’s class, social status, experience of being a refugee, or other significant traumas in their life impact their current experience of family violence.
Most family violence training focuses on responding to victims of family violence. However, Hala also trains workplaces on what employers can do if an employee is a known perpetrator of family violence. She offers strategies for disclosing this in the workplace, whether overtly or not. This is a crucial step to not turning a blind eye to domestic and family violence within our communities. 
It’s well known that family violence can affect workplace productivity and, of course, morale. The recent introduction of family and domestic violence leave in 2018 and the decision in Workers Compensation Nominal Insurer v Hill [2020]  solidified employers’ responsibilities to create a safe working environment for employees facing domestic and family violence.  
No two workplaces are the same, and there’s no ‘one size fits all’ solution to combating family violence in the workplace. For this reason, the Institute of non-violence gathers research and tailors family violence responses to specific workplaces. 
Hala uses the example of a company that works in the financial space and bills customers. Policies might need to address the effects of financial abuse — teaching staff the signs to look out for, and working flexibility into processes when dealing with these customers, so as to not to bombard them with overdue bills and thus escalate the impact of financial abuse.
Similarly, if employees are attending a customer’s home, the workplace’s family violence policy should be tailored to reflect this. In these cases, Hala recommends a full day of training so that staff can respond to family violence, while focusing on staff care. 
Hala sees her role as that of a collaborator, and the Institute of non-violence as a bridge, bringing together experiences of her different roles to apply to each unique workplace. Her aim isn’t to teach employers to be experts in family violence, but to help them implement  confidential and safe structures to address family violence.
The Institute of non-violence can assist all types of workplaces – government, private, NGOs, and workplaces that work in the area of family violence or those that are completely separate from it.
In Hala’s words, “People don’t need to be siloed in their spaces. Family violence impacts everyone, it doesn’t matter where they work.”
The launch of the Institute of non-violence coincides with the International Day For The Elimination Of Violence Against Women on 25 November 2020 this year and the subsequent #16DaysofActivism which traditionally follows. To celebrate its release, IoNV collaborated with poet and former Australian slam champion Luka Lesson who premiered the release of this song.
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What The NSW Budget Means For Small Business

Are you a resident of NSW and either running your own business or thinking about starting your own business? 
Whether you’re in regional NSW, or smack bang in the City of Sydney, we break down the NSW Budget for 2020-21 to see how this could impact you. 
Does Your Business Need Practical Advice?
Under the budget, the Business Connect Program has been extended from 1 to 4 years. The Business Connect Program is a government initiative that gives confidential, independent advice on how to start, change or grow your small business. 
So, no matter what stage your business is at — even if you’re just contemplating starting your own small business — you can get free advice. 
Less Payroll Tax! 
The payroll tax threshold, which was previously $1 million, will increase to $1.2 million. 
On top of this, the payroll tax rate will go down to 4.85% (previously 5.45%) for the period of July 2020 to June 2022. 
Does Your Small Business Want A Government Contract?
$5 million has been allocated to help small businesses tender for government contracts! There are big opportunities in this space — with the NSW Government spending almost $20 billion each year on small businesses to purchase goods and services. 
This will be run by the Small Business Commissioner; check out how else they can help you here.
Return To Work Grant For Women
Grants of up to $5000 are available for women who have been out of work for a month or more and who plan to start work within 6 months. These grants can be used on things like training,education, office supplies, childcare and transport. 
Training And Upskilling
This training will help job seekers and school leavers, and will be aimed at skills shortages in NSW. In particular, care industries, education and apprenticeships are set to benefit. 
As well as training and upskilling, other focuses will be recruitment and retention of staff.
Small Businesses In Regional NSW
An additional $300 million has been put into the ‘Regional Growth Fund’ to be used over the next two years to support local facilities and projects, tourism, infrastructure, arts, sports, data connectivity, drought affected businesses, and encourage job growth. 
If you’re a small business in regional NSW, you can check out what grants might be available to you here. 
Are You Thinking Of Relocating Or Expanding In NSW?
The Jobs Plus Program will make relocating to NSW substantially easier and cheaper, as part of efforts to encourage job growth here. 
Some perks are:
Free or subsidised accommodation and spaces to work inFree support to access government programs, and support and fast tracked planningSubsidised training programsPayroll tax reliefInfrastructure support
Other Industries Set To Benefit
In addition to the above industries that have been hit hard by COVID-19, the arts and cultural sector, sports and the taxi industry will also receive targeted funding. 
Vouchers For Funsies, And Eating Outdoors!
Lastly, here is a bit of fun news: every adult in NSW will get a voucher for $100 to use on entertainment or eating out. Great news if you are a small business in the entertainment or restaurant industry!
These measures are to help stimulate the economy and encourage spending, and could be only valid for slow week days. 
If you’re a restaurant/entertainment business in the Sydney CBD, you could also benefit from the $15 million that has been put into the City of Sydney to encourage outdoor dining and entertainment — perfect for the longer evenings of the coming Summer months. 
No matter what type of business you run, it’s worth checking out if there are any grants that could be open for you!
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What Is A Real Estate Agent Agreement?

If you are selling property on behalf of clients as a real estate agent, you’ll need a Real Estate Agent Agreement. A Real Estate Agent Agreement outlines the services you will provide to your clients, the estimated selling price of the property, and information about fees and commissions. 
It also sets out the extent of your authority to act on behalf of your client, along with provisions for a cooling off period.
Why Do I Need A Real Estate Agent Agreement?
According to the NSW Department of Fair Trading, before an agent can sell a property on behalf of a client, they must have a Real Estate Agent Agreement in place, as well as a valid real estate license. 
If you’ve got a career as a real estate agent, you may want to consider having an agreement specifically drafted for your needs, that you will be able to re-purpose for each of your clients.
What Is A Real Estate Agent Agreement?
A Real Estate Agent Agreement includes clauses relating to:
The services to be providedAny fees or commissions that the client will pay for the agent’s servicesHow and when the agent is entitled to take the fees/commissions owed to themThe agent’s authority to act on behalf of the client, and whether the agent is allowed to amend the contract of sale on the client’s behalfThe estimated selling price of the property (this can be either a single price, or a price range)The ways in which the agreement can be terminated.Provisions relating to the cooling off period.
Example Of A Real Estate Agent Agreement
Brett asks his friend, Robert, a licensed real estate agent, if he could help sell his property.
Robert then presents Brett with a Real Estate Agent Agreement, which outlines the services that he’ll provide, what fees he intends to charge and when he is entitled to be paid, the authority Robert will have to act on Brett’s behalf and an estimated selling price of Brett’s property.
How Can I Get One?
Want to check if you or your agent has a valid real estate license? You can do a licence check online through the Fair Trading website or call them on 13 32 20.If you’re a real estate agent who’s ready to start selling, don’t hesitate to give us a call on 1800 730 617 or email us at [email protected] for a free, no-obligation chat about your Agreement.
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Why You Need Terms & Conditions To Run A Subscription Service

If you are running a subscription service, a set of Terms and Conditions could greatly benefit your business, ensuring you and your customers are on the same page. 
Subscription terms and conditions set out key terms regarding payment, whether fees are refundable restrictions on use, delivery, and agreement termination.
Why Would I Need Them?
If your business is billing customers on a regular basis for regular access to physical goods and services, these Terms & Conditions can prevent future disputes. They clearly outline what is included in the subscription, that permission is given for recurring fees, and how and when payment takes place. 
For example, if there is a cancellation fee, you should bring this to the customer’s attention from the very start of your relationship. Often, businesses state their cancellation fee policy in their T&Cs, so customers agree to it before making payment.
We offer T&Cs for both online and offline subscription services. But what’s the difference between an online and offline subscription? 
An online subscription might be for software or digital access, like Netflix or Adobe. On the other hand, offline subscriptions could be for physical things like yoga or martial arts classes, or gift boxes. 
What Do They Cover?
Subscription terms and conditions usually include provisions relating to:
Payment: how much is due and when is it due? How often is payment to be made? Can payment be made via direct debit? What are the consequences of late or declined payments? Scope: what’s included within the subscription?Restrictions on using the subscription. For example, a yoga studio may offer different packages at different prices.How the subscription will be delivered.Ways in which the subscription can be terminated (i.e. cancellation).
An Example Of Subscription T&Cs
Ben operates a Brazilian Jiu-Jitsu academy. He offers different packages to his students with the major difference being the number of classes they are permitted to attend each week.
Upon signing up, Ben provides his students with a set of Terms & Conditions, which outlines the payment, the scope of what is included within the ‘subscription’, restrictions on the number of classes the students can attend as well as the ways in which they can cancel their subscription.
Get In Touch
If you think that you’re in need of some well drafted terms and conditions, or other legals for your business, get in touch at [email protected] or 1800 730 617 for a free chat.
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Auspice Agreements: An Explainer

When people come together to form a group for the purposes of collaborating to stage a project — such as a one-off performance, production or even a music festival — and they need to gather funding, they may find a need for an Auspice Agreement. 
Why Do I Need An Auspice Agreement?
When collaborating with others, it’s likely that you may not want to register a company for a one-off project.
But, being unregistered, you may find it difficult to engage with other companies and financiers in order to obtain funding for your project. This is where an Auspice Agreement would come into play.
What Is An Auspice Agreement?
An Auspice Agreement is a written agreement between an Auspicor (e.g. a Production Company) where they will receive and manage money from a Funding Body (a bank, sponsor or other lender). This will be done on behalf of the Auspicee (who may be a theatre collective the group of playwrights, actors, directors, lighting and stage hands that come together to put on the show, for example), usually for a fee. 
The Auspicor will ultimately be responsible for managing payments and cash-flow concerns on behalf of the Auspicee. They also need to report to the Funding Body and keep record of the finances.
An Example Of An Auspice Agreement
Chris is a performer who has written and produced a play. He would like to obtain a loan so that he is able to find a theatre to perform it in. 
Chris decides to approach Monstera Productions, a theatre company, to help in obtaining and managing the funding for his production. They both sign an Auspice Agreement to formalise the arrangement in which Chris is the Auspicee, and Monstera Productions is the Auspicor. 
How Can I Get One?
Whether you’re considering an Auspice Agreement or looking to register a corporate legal entity, it can be useful to speak to a lawyer. 
It’s important to get your Auspice Agreement together in an efficient manner, especially if there are time constraints in relation to the project you’re undertaking. 
Don’t hesitate to give us a call on 1800 730 617 or email us at [email protected] for a free, no-obligation chat about your Auspice Agreement.
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Talent Management Agreement: What Exactly Is It?

Thinking of taking up a career as a liaison to the stars? Well, it usually starts with a Talent Management Agreement. 
If you’re acting as an agent or manager for talent such as models, actors and musicians, a Talent Management Agreement will set out the relationship between you and your clients, as well as outlining the duties and responsibilities that you each owe to each other.
Why Do I Need A Talent Management Agreement?
If you’re looking to engage talent for the purposes of management, it’s a good idea to have a formal, written agreement with your client in order to ensure that both of your obligations are fair and transparent. 
If you are working on a commission basis (which is commonly the case), it’s important to outline what share you’re entitled to, and when you’re entitled to take it.
What’s In A Talent Management Agreement?
A Talent Management Agreement will usually include conditions surrounding:
The term of the contract: how long will the agreement be in effect for?The manager’s duties: an outline of the manager’s responsibilities and obligations they owe to their clients. This may include things such as acting as a consultant and providing advice on how to develop the talent’s career, and working with booking agents or casting agents in order to secure work opportunities for the talent.The Talent’s duties: the responsibilities and obligations of the Talent. While these clauses usually vary depending on the kind of talent that you are engaging, (Models, Actors or Musicians) they often concern themselves with the Talent’s obligation to carry out their skill to the best of their abilities.The amount of commission that the manager is entitled to.The ways in which the agreement can be terminated before the contract’s expiry date.
Example Of A Talent Management Agreement
Steve is a Talent Manager. After seeing John play a song at his local pub’s open-mic night, Steve approaches John and offers to be his manager. 
Since John has heard many horror stories regarding musicians and their managers, he asks for an agreement in writing which outlines what Steve is expected to do as the manager, and how much money he is owed for his services.
Steve and John agree that a commission rate of 20%, for a 2 year agreement is suitable. Both parties happily sign the contract and begin their professional relationship.
Get In Touch
If you need an agreement drafted, or other legals for your talent agency or management arrangement, get in touch at [email protected] or 1800 730 617 for a free chat. 
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What We Know About JobMaker So Far

Following the government’s “Job” policy series of JobSeeker and JobKeeper, you may have heard about the JobMaker Hiring Credit scheme that was recently announced. Ths JobMaker Hiring Credit scheme is a program designed to help employers create new jobs for young people. 
While the program is aimed at benefiting young people, there have been concerns in the community about older workers being disadvantaged.  
If you run a business and are thinking of accessing the scheme, you might have some questions about discrimination laws, such as whether it is legal to advertise for roles for staff of a certain age without being discriminatory. 
What Is The JobMaker Hiring Credit?
The JobMaker Hiring Credit is a government program announced on 7 October 2020, aimed at encouraging businesses to hire young people affected by COVID-19. The legislation was just passed in parliament on 11 November 2020.
For each employee hired under this scheme, employers will receive:
$200 per week per new employee aged 16 to 29, and $100 per week per new employee aged 30 to 35.
The point of this scheme is to bring young people out of unemployment. So, to be eligible, candidates must be receiving Youth Allowance, JobSeeker or Parenting Payments before they’re hired.
The JobMaker Hiring Credit is not meant to replace existing workers, but to encourage businesses to create new jobs. To be eligible, the new position must start after the scheme’s announcement on 7 October 2020.
Understandably, some workplaces have already started advertising for staff who specifically meet the JobMaker Hiring Credit criteria. However, there’s been some uncertainty about how it interacts with discrimination laws.
At Sprintlaw, we’ve received a number of questions about whether it is legal to advertise for certain age brackets, and broader questions about age discrimination. We’ll run through these issues, with a particular focus on how they relate to the JobMaker scheme. 
What Is Discrimination?
To start with the basics, there are a number of laws in Australia that prohibit discrimination by employers. Broadly speaking, employers have a responsibility not to discriminate on the basis of a number of attributes: one of which is age.
It is unlawful for employers to use age as a basis to discriminate. Age-based discrimination can manifest itself in the following areas of employment:
Decisions about who should be offered employmentTerms or conditions of employmentPromotion opportunitiesEmployee benefitsTermination of employmentBullying and harassment
How Do Discrimination Laws Work With The JobMaker Hiring Credit?
Given that it’s unlawful to discriminate against someone on the basis of age, what are the implications for making hiring decisions in accordance with the JobMaker Hiring Credit?
As explained above, ordinarily, it would be unlawful for a business to decide not to hire anyone above a certain age, purely based on age. That would be against the Age Discrimination Act 2004.
However, there are some exceptions set out in the Age Discrimination Act. One of the key exceptions is ‘positive’ discrimination. 
An action can be considered ‘positive discrimination’ by meeting any of the following criteria:
It provides a real benefit to people of a particular ageIt is intended to meet a need that arises out of employees of a particular age.It is supposed to reduce a disadvantage experienced by people of a certain age. 
This is also sometimes referred to as ‘affirmative action’, which means taking proactive steps to increase the employment opportunities of a group of people who are particularly disadvantaged. 
Some examples of positive discrimination that already occur are discounts given to customers who have a seniors card, or giving additional notice to older workers who are more disadvantaged by redundancy.
In the case of JobMaker, given that COVID-19 has particularly impacted youth employment, you could make the argument that the creation of jobs for this cohort is a form of positive discrimination.
Another exception set out in the Age Discrimination Act relates to exempted employment programs run by the Commonwealth government. 
In response to a recent Senate inquiry into JobMaker, a Treasury official has clarified that prospective employers may target employees who fit within such employment programs.
Can Employers Directly Advertise For Workers Of A Certain Age?
The statements by Treasury to the Senate Committee gives us some guidance on concerns around discrimination laws.
If you’re not sure how to advertise for roles, try and be generic and refer directly to the employment program. 
Having said that, this program has received quite a bit of political attention so you should be mindful of how you advertise for roles in accordance with the program. Even if you think you might legally fall within an exemption to discrimination laws, context matters and every workplace is unique.
This requires caution, and if you’re not sure about it, you should speak with an employment lawyer.
Can A Business Dismiss Older Workers To Hire Younger Workers Through The Scheme?
The government has not yet finalised the rules, but based on their announcements to date, a business can’t dismiss or reduce an employee’s hours so they can hire a new worker who fits the JobMaker criteria. 
Under their current proposal, the scheme requires the staff headcount to increase, so this would not make your business eligible. 
Also, all of the existing rights and safeguards in the Fair Work Act continue to apply, including protections from unfair dismissal.
There has been some debate going on in parliament as to whether a protection to prevent older workers being sacked or losing hours should be explicitly set out in the legislation, so we’ll be keeping a close eye on whether this will be included in the rules.
How Do I Calculate Headcount?
Based on the government’s current announcements, the employees you have as at 30 September 2020 will be your baseline headcount for an existing business. This means even if you already have staff who are of the eligible age group, they won’t count under the JobMaker scheme. You will have to hire new eligible staff to increase your headcount to be eligible. 
For new businesses created after 30 September 2020, or who had no employees as of 30 September 2020, your first employee won’t be eligible for the scheme but any other eligible employees you hire later do.
I Want To Get The JobMaker Hiring Credit: What’s Next?
The legislation has just passed but the full details of the rules are still being finalised. The government is seeking submissions on the draft rules until 27 November.
For now, we know that the payments will be made via the ATO system, similar to JobKeeper. According to recent government announcements, payments will be available from 1 February 2021.
The legislation is pretty light on detail and it’s expected that the government will introduce more detailed regulations closer to the commencement date. As these updates come in, we’ll be sharing them on our LinkedIn, blog and e-newsletter. 
The Takeaway
While businesses can certainly benefit from the JobMaker scheme, it’s important not to fall foul of discrimination laws. 
Hopefully, we’ll hear more news on the JobMaker scheme soon so that we can provide you with more details about how it’ll affect your business. But, in the meantime, if you need help navigating your business through the COVID-19 recovery, get in touch! Our expert, online lawyers can help with all your business legals. Reach out on 1800 730 617 or at [email protected] for a free chat about your business.
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Revenue Share Agreements: What You Need To Know

If you’re looking to join forces with another business to work together for a shared purpose, you might need a Revenue Share Agreement. 
There are many ways to go about this: one could be a revenue share model, or a profit share model. It really depends on what works for both businesses. 
Why Do I Need A Revenue Share Agreement?
The contents of a Revenue Share Agreement will vary according to industry or the purpose for which the businesses are coming together. 
This is particularly important if each business is bringing very different things to the partnership. If you have your arrangement in writing, it saves you from disputes further down the line. 
Revenue Share Agreements are especially useful when you’re entering a more short-term arrangement, or when you’re not ready to incorporate your partnership with the other business. 
What’s In A Revenue Share Agreement?
Revenue Share Agreements will typically set out the following terms: 
Parties’ rights: Under your arrangement, it is important to set out the rights and responsibilities of each party and what they will bring to the table in your partnership.Management and auditing: How will the partnership be managed or administered? Will the parties have the ability to audit each other?Costs and revenue share: How will the revenue be distributed or shared between the parties?Timeframe: How long will the arrangement last for? Is it for a fixed term or is there no end date?Intellectual property: it is important to make sure that your intellectual property is protected, especially if your business partners have access to your systems and controls. This term also is necessary to make sure that the IP that is created in the course of the revenue share belongs to the appropriate party Dispute resolution: This term will spell out how disputes will be resolved between partiesLiability: Who will be responsible for any losses or damages that the revenue share arrangement incurs?Termination: How can parties exit the revenue share arrangement?
Example Of A Revenue Share Agreement
Leslie runs a small bakery where she sells her baked goods online. Leslie meets Ann, who is passionate about vegan food and sustainable packaging. 
Leslie and Ann decide to launch a revenue share arrangement where they will work together to sell vegan baked goods in sustainable packaging. 
Leslie and Ann agree to get a Revenue Share Agreement in place to ensure that their deal is in writing, and so they know how much each of them gets from their partnership. 
This will make sure that they are aware of their terms before they formally enter their partnership. 
Get In Touch 
It’s important to make sure that your revenue share arrangement is in writing before you pursue your business partnerships. If you’re looking for a Revenue Share Agreement, or legals for your business, get in touch at [email protected] or 1800 730 617!
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Keeping Your Staff Safe: Domestic Violence and Working From Home

Warning: This article discusses domestic violence
As an employer, maintaining a safe work environment is imperative. Unfortunately, with the context of COVID 19 and associated increase in domestic violence, working from home cannot be assumed to be safe. Here is what you can do as an employer.
In Australia, we know that domestic violence is a huge problem that has been exacerbated by COVID-19 which has restricted movement, forced family members and partners to spend more time together in private spaces (especially when working from home or through job loss), and has made accessibility to domestic violence services even more limited.
The Australian Institute of Criminology’s survey of 15,000 women in July 2020 on the effects of COVID-19 on domestic violence found:
Over 65% of women who experienced physical or sexual violence from a current or previous partner they lived with experienced this violence for the first time or experienced an escalation in the frequency and severity of this violence during COVID,
Over 54% of women who experienced coercive control from a current or previous partner they lived with experienced this abuse for the first time or an escalation of that abuse from February this year.
As an employer, you may be wondering what this has to do with you. Aside from providing financial security for victims of domestic violence, having a physical workplace provides a social network of support and a neutral public place where staff can be safe. 
Your duty to provide a safe workplace does not stop when staff are working from home. And it means more than ensuring staff have a good internet connection.
The Link Between Work And Home
First, let’s look at some examples of what it means when an injury occurs ‘in the course of employment.’ According to a 2015 case, Pioneer Studios Pty Ltd v Hills, the court found that key elements of a worker’s course of employment is attendance at a workplace, or carrying out work functions during business hours. Working from home is certainly carrying out work functions during business hours! 
In this case, it was acknowledged that boundaries have shifted. It was actually found that the further one moves away from the normal boundaries of work, the closer the scrutiny of the circumstances involved becomes.  
In Workers Compensation Nominal Insurer v Hill [2020] a de facto partner, operating under the delusion that the victim was trying to ruin his career, murdered his intimate partner. The couple were running a business together and working from home. In this case, the links between the worker’s employment and harm suffered, and whether this was a substantial contributing factor, were examined. In this case, the Workers Compensation Commission found ‘the deceased had died as a result of injury arising out of and in the course of her employment’. 
This is because:
The assault arose out of the course of her employment as the perpetrator believed the victim was trying to steal his clients and ruin his career. It was found the assault occurred in the course of employment as, though it was unknown if the deceased was working at the time, she was known to work or at least be on call for work at that location (her bedroom) at that time (between 8 and 10am).
What Are Your Legal Obligations As An Employer?
Employees have the right:
to take family and domestic violence leaveto take personal/carers leaveto request flexible working arrangements if they are experiencing family/domestic violence or caring for someone experiencing family/domestic violence
Confidentiality
Employers have a legal responsibility to keep information about domestic violence confidential. This is part of keeping an employee experiencing violence safe. The only exception is when an employer must disclose this information to prevent someone from being harmed. 
There are multiple barriers to disclosing violence and, if an employer is not taking confidentiality seriously, this could prevent staff from asking that their workplace needs are met.
Flexible Working Arrangements 
Flexible working arrangements can mean different working hours, different work duties, or different work locations. It’s something to think about: flexible working arrangements have, in pre-COVID times, implied working from home, whereas now you might want to also consider offering the opposite to provide a safe space.  
What Practical Steps Can Employers Take?
So, we know that ensuring a safe work environment is still the employer’s duty even when staff are working from home. Understandably, this might seem hard. After all, you’ve probably never even been to the place you are trying to ensure is safe, and may have little to no knowledge of whether your employee feels safe at home. 
It’s also important not to be intrusive of a staff member’s privacy, and demand to know details about their home life that they may not be willing to share. Allowing flexibility, allowing some staff to work from the office, and disclosing this to staff becomes even more important. 
We recommend you check out Fair Work’s resources on how to manage family and domestic violence in the workplace. 
Employers should aim to have open and secure communication with staff, act in a non-judgemental manner, and ask the staff member what they can do to practically help. It is important employers let their staff know what their rights are, and how workplaces can help. You might want to let staff know about their rights by including this in your workplace policy and procedures, and sending around these updates to staff. 
If a staff member opens up to you about domestic violence, you may want to direct them to some professional resources, such as:
1800 RespectThe Victims’ Services of the particular state or territory you are in, eg Victoria has Victim Support Services or the Domestic Violence Resource Centre, WA has Victims of Crime and NSW has Victims ServicesJobWatch
As an employer, you can also find more practical information on what you can do including courses from a range of organisations such as Fair Work Australia, DV Work Aware, Our Watch or White Ribbon Australia. 
The Takeaway
You may not have realised your workplace could have been one of the few safe spaces staff could go to on a regular basis, or that you were able to implement flexible policies at work to assist staff experiencing domestic violence.
There are multiple opportunities open to you, as an employer, to take into account the very real risk of domestic violence to better protect your staff. It’s important to utilise all the great resources available for workplaces to sensitively approach this topic.
Lastly, making sure your staff are aware of their rights, and your duty to keep their information confidential, can create a better workplace culture. If you need help updating your workplace policies and procedures, or understanding your rights, feel free to reach out to us to chat with an employment lawyer on 1800 730 617 or [email protected].
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Can Employees Be Forced To Take Annual Leave?

As an employer, it is not in your best interests to have staff accrue too much annual leave. This is for several reasons:
Financial: Unused annual leave is a financial liability. Should the worker leave their job, you will have to pay this out to them. Managerial: There is the danger your employee will want to take all of their leave at once, making it difficult to cover their position over a long time period. Or maybe several employees will want to take leave at the same time, making it operationally difficult for your business.Workplace Health & Safety: You do not want your staff to suffer burn out, or to become unwell from working too long without a break. Going too long without a break can also lead to decreased efficiency and morale in the workplace. 
However, from an employee’s perspective, they may want to save up their annual leave for a long holiday, or for a time when their children or spouse are on holidays too. Employees may also prefer to be paid out the annual leave when they leave the business.
Technically, employees can take as much or as little leave as they like at once. And, of course, best practice is always to negotiate leave with staff and let them know the operational requirements of your business well in advance. This allows your staff to plan their leave, and they can be given notice to voluntarily take some leave if you notice their balance creeping up. 
There are only two circumstances in which employers can force their employees to take leave: 
When an employee has accrued ‘excess leave’If the business is shut over a holiday period. 
What Is ‘Excess Leave’? 
Excess leave should be addressed in the employee’s registered agreement. A registered agreement may define exactly how much leave is excess, or it may be silent on how much leave is excess. If the registered agreement does not define the amount, then forcing an employee to take leave because they have accrued excess leave must be a ‘reasonable direction’. 
A ‘reasonable direction’ should take into account:
The operational requirements of the business and the needs of the employeeAny predetermined arrangements with the staff memberThe normal arrangements of the entityHow much notice was given for leave
Getting Staff To Take Leave During A Business Shut Down
A business shut down is a temporary close of business at certain times of the year (for instance, at Easter or over the Christmas holidays). A lot of businesses have stood down employees because of COVID-19 shut downs, however this is different. We’ve written more about directing employees to take leave during COVID-19 here.
Again, to force an employee to take leave during a business shut down, it must be allowed in the employee’s registered agreement or modern award. 
The Takeaway
Forcing employees to take leave should always be a last resort, as you want to maintain a good relationship with your staff, and this could lead to resentment. Being open with your employees about how accrued leave will affect your operational needs, and what needs to be done, will help place you both on the same page. Though forced leave is possible, it should be a last resort. If you have any employment law queries, feel free to contact Sprintlaw on 1800 730 617 or at [email protected].
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What Are Stand Down Rates In A Hire Agreement?

A stand down rate is an optional clause in a Hire Agreement. It lets parties opt to give the customer a discount on days when the product being rented out will not be used.
‘Stand down rates’ are most commonly found in Dry Hire Agreements where large expensive machinery is rented out.
For example, if your business were renting out machinery for a construction site for a month, and the customer knew work would not be undertaken on weekends, you could charge the customer 50% of the normal hire price on weekends. 
Another example is if the equipment could only be used in certain conditions, and bad weather meant the customer was not able to use the equipment. The days the equipment could not be used due to wet weather could be billed at a discounted rate, otherwise known as a ‘stand down rate’.
Why Should You Include Stand Down Rates in your Agreement?
Building ‘stand down rates’ into your hire agreement can make your business more attractive for customers, and change the way your equipment is hired, making it more attractive for long term hires for instance.
Here at Sprintlaw, our lawyers are highly experienced in drafting both Wet and Dry Hire Agreements that are tailored to your business’ specific needs. Contact us for a quote for your contract! Our friendly legal consultants are available for a free chat on 1800 730 617 or at [email protected].
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Laws That Encourage Competition In The Marketplace: A Basic Guide

In Australia, the Australian Competition and Consumer Commission (ACCC) regulates and promotes competition in the marketplace. Most laws aimed at encouraging competition in the marketplace seek to prevent anti-competitive behaviour. 
What Is Anti-Competitive Behaviour?
Anti-competitive behaviour can encompass a wide variety of behaviours in the marketplace, often influenced by the bargaining power of the entity. 
Some examples are anti-competitive conduct, cartels, collective bargaining and boycotting, misuse of market power, unconscionable conduct and enforcing minimum resale prices. 
In this article, we’ll look at some key examples of anti-competitive behaviour that small businesses should look out for.
Anti-Competitive Conduct
According to the Competition and Consumer Act, anti-competitive behaviour is any contract, arrangement, understanding or concerted practice that has the purpose, effect, or likely substantial effect of lessening competition in a market.
Let’s break that down! 
A “contract, arrangement or understanding” does not have to be written down or even expressed verbally, and can be an understanding between two parties. Evidence of this understanding might be in the party’s conduct (e.g. their business practices). 
Concerted practice is less full on than an understanding, but is more than acting independently. For example, evidence of a pattern of two businesses collaborating or communicating together might amount to concerted practice. Concerted practices are obviously ok if it doesn’t result in anti competitive behaviour. 
Lastly, a market is an area of close competition between firms, while substantial is ‘meaningful or relevant to the competitive process.’ 
Collective Bargaining And Boycotting
Collective bargaining is where two or more entities join forces to discuss T&Cs and prices with a customer or supplier. A collective boycott ties into this where the two or more entities who are negotiating together against the supplier or customer refuse to deal with them unless they agree to their terms. 
There are exceptions, for instance when small businesses face a power imbalance negotiating with bigger businesses and it is in smaller businesses interests to band together in negotiations. In these instances, collective bargaining is not illegal if the benefits to the public eclipse any damage to competition. Businesses should apply for authorisation or notification from the ACCC if they want to be exempt.
Exclusive Dealing
Exclusive dealing is selling goods or services to another on the condition that the recipient must or must not use another supplier. 
For example, a couple wish to book a wedding reception venue named ‘Apple Tree Mountains’, but the venue will only allow their services to be booked if the couple also use a certain photographer of the venue’s choosing. The venue also will only allow it to be booked if the couple do not use a nearby competitor’s restaurant, ‘The View’ venue, for the ceremony to take place.
Exclusive is not always against the law, only when it substantially lessens competition.
Suppliers And Resale Prices
Suppliers can’t try to force reselling businesses to charge a set price, including pressuring resellers to use the recommended retail price. But suppliers can decide not to sell to resellers who want to sell goods below their cost. 
Businesses might want to sell goods below their cost for promotions or to attract customers, known as ‘loss leader selling’. However, clearances, or when a business has informed the supplier that they intend to use loss leader selling, are exceptions.   
Cartels
A cartel is where two or more businesses collude rather than compete so as to increase profits. To do this, a cartel might fix prices, divide the market so they can share it without competition, limit the number of goods and services on the market, and rig bids (when suppliers discuss and come to agreement on who will win a bid, and at what price, before the bid takes place). 
Cartels are super illegal, both under civil law (you could cop fines) and under criminal law (you could go to gaol or do community service). 
This is because of the huge ramifications of cartels on price increases in goods and services, and economic stagnation through preventing other businesses from participating in the economy, reducing investment, innovation and consumer confidence. 
The Takeaway
Unsure if you might be engaging in anti-competitive behaviour, or if you’ve been on the receiving end of it? Anti-competitive behaviour is not always black and white, and you may need legal advice from a lawyer experienced in dealing with the Australian Competition and Consumer Commission. Feel free to get in contact with Sprintlaw on 1800 730 617 or at [email protected] to see if we can help you.
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What Is A Partnership?

We often hear clients setting up a business with another person mention they have a partnership or want to set up a partnership. But what they really mean is they have a business partner and they want to set up a company. 
Having a business partner is completely different from the legal term ‘partnership’. A partnership is a type of business structure. 
A partnership business structure works in a similar way to a sole trader, in that there is no separate legal entity created by a partnership. However, instead of control resting on one person like in a sole trader, a partnership has a minimum of 2 people who both control the business and share income and losses of the business. 
Each partner is personally liable for any debts and losses from the business, thus making them liable for the decisions of themselves and the other partner. Though a partnership is easy to set up, it can be risky for this reason. A common alternative business structure with more than one co-founder is a company structure.  
What Are The Types Of Partnership?
Partnership business structures have different rules depending on what state or territory they are in.  
For example, within NSW there are three forms of partnership under the Partnership Act.
1. Normal Partnership 
Does not need to be registered and is the simplest formMay be used between family members for instanceIs the most common type of partnership we see here at Sprintlaw
2. Limited Partnership
Needs to be registeredConsists of general and limited partners who have different liabilities and obligations.General partners have unlimited liability, and manage daily operational requirementsLimited partners have their liability limited to how much money they give to the partnership and don’t have anything to do with running the businessBetter for capital raising than a normal partnership, as limited partners can act as passive investors Can be useful for small businesses that need to raise funds but don’t want the reporting obligations of a companyCommonly used in creative ventures, real estate developments, mining and agricultural projects etc.
3. Incorporated Limited Partnership
Needs to be registeredIs used for venture capital purposes.
How Do I Set Up And Maintain A Partnership?
To set up a partnership, one or both partners must apply for an Australian Business Number. If the annual turnover is expected to be or is $75,000, GST must be registered. Your partnership must also have a tax file number. 
You should also have all partners sign a Partnership Agreement that has been drafted specifically to your business’ needs. It will cover important issues such as who makes decisions in what areas, how income is separated, and what happens if a partner wants to leave.
Each year, partnerships must register a tax return. There is far less paperwork and reporting obligations in running a partnership than in running a company. 
What Happens When A Partnership Ends?
A partnership might come to an end for a number of reasons. For example, the partnership becomes insolvent or bankrupt, a partner becomes bankrupt, dies or wants to leave, or the partnership comes to an end because it has an expiry date set out in the partnership agreement. 
If any of this happens, the partnership is dissolved. This is where the Partnership Agreement comes in, as the terms of how the partnership will be dissolved relies on this contract. If there is no Partnership Agreement, the partnership must be dissolved according to the state or territory’s partnership legislation. 
Lastly, the partners may sign a Partnership Dissolution Agreement to formally end their partnership. 
What Next?
Here at Sprintlaw, we’ve spoken with a lot of clients who have reached out to a lawyer for the first time because their partnership needs to be dissolved but they don’t know where to start because they never set up a partnership agreement. 
Setting up a partnership agreement can avoid a lot of stress down the track, even if you are setting up a partnership with a friend or family member. Don’t hesitate to reach out to us if you want help deciding on your business structure, drafting a partnership agreement or dissolving your partnership.We can be reached for a free chat on 1800 730 617 or at [email protected].
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