legalonline.com.au

GlobalX Information Services, a leading Australian provider of information and legal software solutions, has acquired the business OnlineLegal (OLL)
OLL, a Brisbane based online supplier of Legal information, entered into agreement with GlobalX Information in November, 2007. Formal settlement occurred on Friday, 7th December 2007.
General Manager for GlobalX, Julie-Ann Crossley, believes that OLL’s product offering, staff culture & market focus make it a natural fit for GlobalX Information and Practice Management services via Open Practice. More importantly, it will provide the opportunity to deliver improved service and benefits to customers of both organisations.

How will this affect OLL customers?
At this point, there will be no changes to the OLL website access or service. By this notice the go forward rights and obligations of OnlineLegal.com.au Pty Ltd ABN 20 109 543 893 are transferred and assigned to GlobalX Information Services Pty Ltd. The onlinelegal.com.au Terms and Conditions have also been updated.

Who is GlobalX?
GlobalX Information is one of the longest standing online information brokers in Australia and was the first company in Australia to put a land title onto the internet which was closely followed by a wide range of company, business and other land information services. GIS also owns Open Practice Solutions a leading supplier of Legal Practice Management solutions.
GlobalX online services are available 24/7 and are supported by our National Customer Care Centre (NCCC) which is serviced by a team of professional staff from 6am – 8:30pm (AEST), Monday to Friday and Saturday and Sunday via email service. All calls are taken personally by experienced staff with no voicemail or on-hold services.

GlobalX Information has offices in Sydney, Melbourne and Brisbane, all of which have a compliment of sales and service professionals to ensure your needs are met. We look forward to servicing your organisation’s needs long into the future and look forward to talking to you soon.

Julie-Ann Crossley, General Manager GlobalX Information Services Pty Ltd

Andrew Lind, CEO OnlineLegal.com.au Pty Ltd

For further information about GlobalX Information, please visit our website: www.globalx.com

Searching for a free Last Will and Testament?

The only place I know that still has a free Will making service are the Public Trustee offices. However this is often accompanied by the Public Trustee needing to be appointed as executor of your Estate and charging a fee for administering your estate (often based on a percentage of your estate).

The alternative is one of our online Will LawPacks from only $14.50 and you can appoint whoever you like as your executor (usually a close family member or friend).

Buy one of our lawyer written Wills online and the Will Template (Word) and detailed step by step DIY instructions are immediately emailed to you by our sever twenty four hours a day seven days a week.

At only $14.50 a Will Kit from OnlineLegal may as well be a free Will. No travel. No inconvenience of needing to make an appointment. Twenty four hours a day seven days a week.

And our Wills are simple to use with lawyer written instructions to lead you every step on the way.

And if you’re not happy a 30 day money back guarantee. Plus a lowest price guarantee. Find a lower price for an equivalent product and the Will LawPack is yours free.

Don’t put it off any longer, make your Will now:

More online Will making and Estate Planning resources at: www.onlinelegal.com.au

It seems obvious doesn’t it, but in Queensland there is some confusion.

This article is in support of a piece written by Mr Tim O’Dwyer Solicitor, in the Courier Mail on October 18, 2007 titled, “Agents lose conditional support”. This article was the subject of some extensive comment in interviews yesterday aired on 612 ABC Brisbane.

My basic point is this – Real Estate Agents should do what they are good at and Lawyers should do what they are good at.

As a Lawyer, I am not skilled and experienced at identifying potential buyers for a property, matching those buyers to properties, effectively marketing a property to a buyer, and leading that buyer to the point of making an offer to purchase the property.

As a Lawyer, experienced in property law, I am skilled and experienced at clearly and concisely documenting the terms of a contract of sale in order to protect the legitimate interests of the parties to it.

Preparing a contract for the sale and purchase of land is never as simple as completing blanks in a standard form contract.

Let me give you some recent examples that have come across my desk:

1. There is a section in the standard form contract titled, “Encumbrances” which is usually completed “Nil”. Exceptions are rare, eg. when there is a registered easement over the property. That easement is then noted in this section by a specific reference to the easement document. Otherwise, the buyer wants to be sure that when they buy the property there will be no other encumbrances that they have not been made aware of

Despite very clear notes on standard contracts that this section should be completed “Nil” contracts still come into our office with this section completed, “None known to Seller”. What does this mean? The buyer is now in a situation where their lawyer has to seek to have the contract varied during the cooling off period and bear the cost of doing so.

2. When a contract is subject to finance it is common practice for Real Estate Agents to complete the finance amount as “Sufficient to complete”. What does this mean? Again this is uncertain and results in a need for the buyer to engage their lawyer to seek to vary the contract after it has been signed during the cooling off period and bear the cost of doing so.

“Well that’s what the cooling off period is for”, I hear you say. True. However, there is a “small matter” of 0.25% penalty being charged to the buyer if they terminate the contract in reliance upon cooling off. On a $500,000.00 purchase this amounts to $1,250.00. Not a “small matter” for most buyers. I therefore ask the question, are Real Estate Agents are really preparing contracts for free?

There is an urban myth that if a contract is sent to a Lawyer for comment or checking prior to it being signed that the Lawyer will bog the matter down and make everything far more complicated than it needs to be. This is not my experience. My experience is that most Lawyers turn these matters around very quickly (normally within a matter of hours) and are highly commercial and practical in the advice that they give.

A Lawyer, just like a Surgeon, will be able to look at something that appears to be pretty standard or benign on the surface of things and know what risks might be lying just beneath the surface. We insist that our moles and other skin blemishes be examined by a Medical Practitioner with specialty in identifying what appears to be ok on the surface of things on the basis that it may in fact be hiding something far more sinister. Equally, we should not be entrusting the examination and completion of what appear to be fairly benign and standard documents to those who are not specifically trained in carefully considering them and making sure they are appropriately drafted. After all, the purchase of a home is a very significant transaction. Additionally, in the event that the person who is doing this for you makes a mistake you want to know that they have some insurance to cover you for your loss and damage.

What’s the solution?

There are a number:

1. Real Estate Agents should stick to what they do well and let Lawyers do what they are trained to do (preparing and advising on contracts);

2. Lawyers should stop bagging each other and charge appropriately for pre-contractual advice that they give. (Do Real Estate Agents perform their service for free on next to nothing? No).

3. Practically, many contracts are prepared after hours or on weekends when lawyers are simply not available to consider and advise on those contracts. The penalty for the termination of a contract under a cooling off period has to be removed. It is truly then a cooling off and advice period.

Your “Will” only applies when you die. Your executors do not have power to make decisions for you during your lifetime.

An alternate decision maker (attorney) with power to make decisions for you during your lifetime is appointed by a Power of Attorney. If the power is to endure though an incapacity you may experience, the power needs to be expressed to be Enduring (and comply with legal requirements as to its form and manner of being signed).

The importance of having an alternate decision maker during your lifetime is illustrated in these examples:

Financial decision making

• If you are overseas on extend travel and you need a document signed or money transferred
• If you are injured or incapacitated and need a document signed or bills paid

Health decision making

If you are incapacitated and unable to make medical treatment decisions for yourself an appointment of an alternate decision maker (that endures through incapacity) provides your loved ones with certainty about who makes these decisions for you.

Online Power of Attorney resources

Victorian Financial Enduring Power of Attorney - For 1 | Vic Financial Enduring Power Of Attorney - For 2

South Australian General/Enduring Power of Attorney - For 1 | South Australian General/Enduring Power of Attorney - For 2

NSW Enduring/General Power of Attorney - For 1 | NSW Enduring/General Power of Attorney - For 2

Western Australian Enduring Power of Attorney - For 1 | Western Australian Enduring Power of Attorney - For 2

Queensland Enduring Power of Attorney - For 1 | Queensland Enduring Power of Attorney - For 2

More online resources: www.onlinelegal.com.au

I think there is.

Most Wills that I make for people have these simple (standard components):

1. Revoking prior Wills and declaring this to be the last Will.

2. Appointment of Executors (usually the Will makers surviving spouse, adult children or other close relatives or friends).

3. Gifting the whole estate to:

• surviving spouse; or
• children in equal shares; or
• between patents / siblings is equal shares.

4. Appointment of guardians of infant children.

5. Empowering Executors to manage and administer the estate (particular for the benefit of infant children).

Make your Will today with our Will LawPacks.

Will LawPacks for standard situations (from $14.50):

One Page Will (Basic) - for gifting to partner, children and grandchildren

One Page Will (Basic) - for gifting to partner, children and grandchildren (plus Guardian Appointment)

One Page Will (Basic) - for gifting to named people in certain percentages

Will LawPack for non-standard situations (from $28.95):

Advanced Will

More resources: www.onlinelegal.com.au

Is there such a thing as bullet proof asset protection? In my view, no.

Risk Analysis

The first step in asset protection is to identify the areas of your life (and the way you do things) that expose your hard won personal assets to risk of being grabbed by people seeking to unjustly seek windfall advantage from you.

We have developed over 50 targeted questions written after years of advising people in this area and consolidated them into an easy to use checklist.

Our questions are grouped under these themes:

Risk Management Plan

Once the risks are identified, what are the strategies to minimise those risks? Our Checklist helps you develop and implement a risk management plan to protect your personal assets.

Wealth creation by keeping what you have

Wealth creation is just as much about quarantining and protecting what you have as it is about new opportunities.

Take action today with our Personal Asset Protection Health Checklist only $19.95

More resources: www.onlinelegal.com.au

Your trustees are those who are entrusted with holding part or all of your estate (pursuant to your Will) on trust for a period of time before distribution to a beneficiary.

Usually your executors and trustees will be the same people.

If a beneficiary is of full age and capacity, the trust will only exist during the time of the administration of the estate and the trust will terminate once there is a distribution to the beneficiary. (Adinistration is that time between death and distribution of the estate).

The most usual occasion where a longer-term trust arises is where a minor (that is, a person under the age of 18 years) is a beneficiary under your estate.

Some factors to consider in choosing trustees:

• Their ability to manage money
• Their relationship with any guardians of infant children you are appointing. The guardians will need to have trustee approval to access parts of your estate for the education, maintenance and advancement in life of minors.
• The degree of decision making power that they have. Are they only have power of distribute income to minor beneficiaries or also to dip into capital if they decide its necessary?

Consider appointing joint trustees. This has two advantages:

• If one is unable to act there is still one trustee
• They both must agree before property is applied for a minor beneficiary.

Our Advanced Will has detailed Trustee Powers to give trustees to power they need to administer an estate cost effectively.

More resources:
www.onlinelegal.com.au

Here are some common problems with Non-Disclosure Agreements (sometimes called Confidentiality Agreements) that we have reviewed.

1. Contracting parties

Think about precisely who is to be bound by the Agreement and make sure that they are named as parties to the agreement and they sign-off.

If you are dealing with a business make sure that the legal entity that owns the business is a party. “Business names” and “Trusts” are not legal entities. Who owns the “business name” (a business name search may be necessary); who is the trustee of the trust - they are the party.

2. Agreement or Deed

If employees, contracts or other third parties are to be bound a Deed must be used.

3. Limitations on disclosure

A good agreement contemplates precisely how the Material will be used by the recipient party (that is, who within their organisation will have access to it.)

4. Material to be kept confidential

There is no point being too broad here with words like “everything I show you”. Be specific. More …

5. Purpose of Disclosure

Make sure this is stated.

6. Return of Confidential Material

When the purpose is finished there should be an obligation for all copies of the Material to be returned. I have even seen a Statutory Declaration required at this point.

Resource: Non-Disclosure Agreement from OnlineLegal.com.au

Other Resources: Non-Disclosure Agreements add value | www.onlinelegal.com.au

Here are my top five common Will making myths which have been informed by years of legal practice in this area, in Australia.

Myth 5: I have to list all my assets in my Will

Wrong. Most Wills are made by the Will maker gifting, “the whole of my estate of whatever nature and wherever situated”, to particular people.

The benefit of making a Will in this way is that you do not need to change your Will each time specific items of property change.

If specific items of property are listed in your Will and one of those items is sold the gift of that item of property fails. This can result in your intended beneficiaries being deprived of part of your Estate because an identified asset has been disposed of and therefore cannot be gifted by your Will.

Myth 4: Only a lawyer made Will is a valid Will

Wrong. There is a very famous case about a handwritten note simply saying, “All to mother” being held by a Court to be a valid Will.

Myth 3: A valid Will has to be witnessed by a lawyer or a JP

Wrong. The requirements for witnesses of Wills is that the witnesses be of age and capacity and independent to the Will maker.

The witnesses should understand that the document that they are witnessing is a Will and be satisfied that the Will maker has capacity (called testamentary capacity) to make a Will. If in doubt, seek legal advice.

Myth 2: A simple Will is more open to being challenged

Wrong. If the “age old” formal requirements for making a Will are followed (which are relatively simple) it is highly unlikely that a Will could be challenged on the basis that it lacked the right form. (See also Myth 4).

If there are those (for example close family members) who may have a claim against a Will maker’s assets if they are excluded or not adequately provided for, they will have that claim whether the Will is simple or complex. This is because such a claim arises as a matter of law.

If you are concerned about a claim someone may have against your estate take specific legal advice. I have also written an Article on my Blog site which may help: Avoiding a claim on your estate

My number 1 myth: I’ve got plenty of time

Wrong. We all know stories of people who have thought this and have had their lives tragically cut short.

The grief and cost for loved ones left behind who need to administer your affairs without a Will are huge.

It is far better, to make a simple Will today and change it in a month or so … after you have thought about it further than put off making any Will for a month or so which almost inevitably will become 6 months or so, no 12 months or so, no 24 months or so … or … never.

Make a Will today!

More Resources: www.OnlineLegal.com.au

This media release was issued by the ATO today:

“The Tax Office is giving business owners a one-off opportunity to correct past mistakes regarding payments and loans from their private companies and avoid penalties under Division 7A.

Recent changes to tax law give the Commissioner of Taxation discretion to disregard the operation of Division 7A in circumstances where an honest mistake or inadvertent omission has been made.

The offer applies to mistakes made between 2001-02 and 2006-07 and practice statement PSLA 2007/20 released today sets out how taxpayers can take corrective action to fix these mistakes.

“Until 1 July 2008, I am offering people the opportunity to correct past mistakes and omissions within the parameters of our new practice statement,” said Tax Commissioner Michael D’Ascenzo.

“People who follow the practice statement and include any outstanding interest or previously undeclared payments in their 2007-08 return can take advantage of the new changes to the law, without being concerned about further enquiries,” said Mr D’Ascenzo.

“This is an opportunity for taxpayers to take control of their own tax affairs and avoid the operation of Division 7A.” For some time the Tax Office has had concerns about whether business people were correctly paying tax on payments made for them or to them by their private companies.

“We’ve consulted with industry to develop an approach which allows people to resolve past mistakes in connection with Division 7A and to move on without worrying about penalties down the track,” said Mr D’Ascenzo.

“We are also working with the tax profession to help people understand and voluntarily comply with their obligations in the future.”

From 1 July 2008, the Tax Office will resume audit work to ensure payments made by private companies are correctly accounted for and company loans are not used to distribute tax free profits. “I strongly encourage people to take advantage of this opportunity.””

Online Resources: Division 7A Loan Agreement