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Lawbase An online law firm for business owners and entrepreneurs. We provide timely, practical and affordable commercial law services so you can get on with business.

“We’ve worked together for years. We don’t need a contract.”Until you remember the deal differently.A handshake agreemen...
03/09/2026

“We’ve worked together for years. We don’t need a contract.”

Until you remember the deal differently.

A handshake agreement or verbal arrangement can, depending on the circumstances, create a legally binding contract. The bigger problem is often proving exactly what everyone agreed to when there’s nothing clearly documented.

Perhaps you agreed on the work and the price. But what about the details you didn’t discuss?
→ What happens if the work is late?
→ Can the price change?
→ Who owns the intellectual property?
→ Can either party terminate the arrangement?
→ What happens if something goes wrong?

These questions become particularly important when an arrangement involves significant money, ongoing obligations, confidential information, employees or contractors, assets or shares.

Putting an agreement in writing doesn’t mean you don’t trust the other party. It gives both sides a shared reference point – and can help protect a good commercial relationship by addressing uncertainty before it becomes a dispute.

And it doesn’t always require a lengthy, complicated contract. Depending on the arrangement, a short, commercially focused agreement may be enough to give everyone greater clarity.

Trust is valuable. Clarity is better.

When should you speak to a lawyer about your business? Preferably before something goes wrong.Business owners make decis...
01/09/2026

When should you speak to a lawyer about your business? Preferably before something goes wrong.

Business owners make decisions with legal implications all the time – often without thinking of them as “legal” decisions.

“We’ve agreed on everything – do we really need a contract?”
“This template looks fine. Can’t I just use it?”
“We all get along. Why would we need a shareholders agreement?”
“Can’t I just hire them as a contractor?”
“I’ve registered my business name. Isn’t my brand protected?”
“This contract looks pretty standard. Can I just sign it?”

There isn’t always a complicated answer. And you don’t necessarily need a lawyer involved in every business decision.

But getting advice at the right time can help you understand the trade-offs, identify risks you may not have considered and put appropriate protections in place while you still have options.

That might be when you’re starting or restructuring, bringing in a business partner, hiring your team, entering an important contract, protecting your IP or preparing for growth or an eventual exit.

A commercial lawyer’s role isn’t just to help resolve problems. It’s also to help you make better-informed business decisions before those problems arise.

Hiring your first employee is exciting.Hiring your tenth is a different challenge.As your team grows, so do the chances ...
26/08/2026

Hiring your first employee is exciting.
Hiring your tenth is a different challenge.

As your team grows, so do the chances of crossed wires, inconsistent expectations and misunderstandings about responsibilities.

Who owns intellectual property created by an employee? Are confidentiality obligations clear? What happens when someone resigns? Have expectations around notice, leave and responsibilities been properly documented?

These aren’t just legal questions. They’re business questions that become more important as your team expands.

Well-drafted employment contracts help create clarity from the outset by documenting expectations before assumptions have a chance to creep in.

If your business has outgrown the contracts you started with, it may be time to review whether they’re still fit for purpose.

If a company owes you money and enters liquidation, starting or continuing legal proceedings isn’t as straightforward as...
23/08/2026

If a company owes you money and enters liquidation, starting or continuing legal proceedings isn’t as straightforward as many people assume.

Once a company is in liquidation, there is generally a pause on legal action against the company. In most cases, creditors are expected to lodge a proof of debt with the liquidator instead of pursuing individual claims through the courts.

There are limited circumstances where a court may grant permission for proceedings to continue, but the threshold is high. The court will weigh up factors such as the nature of the claim, the likely benefit of the proceedings and the impact on other creditors.

If you’re dealing with an insolvent company, understanding your options early can make a significant difference. The right course of action will depend on the specific circumstances and should be considered carefully before commencing litigation. Read more about seeking leave to proceed – link in comments.

It’s understandable to want strong protection when a valued employee leaves your business.But when it comes to post-empl...
21/08/2026

It’s understandable to want strong protection when a valued employee leaves your business.

But when it comes to post-employment restraint clauses, broader doesn’t necessarily mean better.

Courts will only enforce restraints that are reasonably necessary to protect a legitimate business interest, such as confidential information, trade secrets or customer relationships. If a restraint goes further than necessary, it may be found unenforceable.

A recent Court decision reinforced this point, rejecting a restraint that sought to prevent a former executive from working for dozens of businesses across Australia and New Zealand. Rather than rewriting the clause, the Court found it was simply too broad.

Well-drafted restraint clauses should be tailored to the role and the business they’re designed to protect. Trying to cover every possible scenario can sometimes leave employers with no enforceable protection at all. Read more about these clauses in our article – link in comments.

Many founders choose a sole trader structure because it’s quick, simple and inexpensive to set up. But the cheapest opti...
18/08/2026

Many founders choose a sole trader structure because it’s quick, simple and inexpensive to set up. But the cheapest option today isn’t always the best option for tomorrow.

The structure you choose can affect your personal liability, future growth, ability to bring in investors, tax outcomes and even how easy it is to sell your business down the track.

For some businesses, operating as a sole trader is entirely appropriate. For others, the added protection and flexibility of a company structure can outweigh the extra administration involved.

The key is choosing a structure that supports where your business is heading – not just where it is today. Read our guide to find out more – link in comments.

Your employees don’t all need to know the same information.But in some situations, what one employee knows – combined wi...
12/08/2026

Your employees don’t all need to know the same information.

But in some situations, what one employee knows – combined with what another knows – can become relevant in determining a company’s legal responsibility.

A Federal Court case involving the Commonwealth Bank considered whether the combined knowledge of two employees could be used to establish unconscionable conduct by the bank. While the appeal ultimately found in the bank’s favour, the case highlighted an important issue for businesses: how information is managed across an organisation can matter.

As businesses grow, responsibilities naturally become more specialised. Different employees handle different parts of a transaction, and no one person may have the full picture. That’s why clear processes, effective communication and well-defined roles are so important, particularly where staff interact with customers or provide advice.

Every situation will depend on its own facts, but this case serves as a useful reminder that strong internal systems are just as important as technical expertise. Learn more about the case in our article – link in comments.

Launching a new website is a big milestone.You’ve invested time into your branding, your copy and your customer experien...
10/08/2026

Launching a new website is a big milestone.

You’ve invested time into your branding, your copy and your customer experience. But many businesses overlook one of the most important parts before they hit publish – the legal foundations.

Website Terms & Conditions, a Privacy Policy and a Website Disclaimer aren’t just boxes to tick or templates to grab. Depending on your business and the way your website operates, they can help set expectations with users, explain how personal information is handled and provide important legal protections.

Putting these documents in place early is often much simpler than trying to retrofit them later.

Our fixed-fee Website Legal Package gives new and growing businesses a straightforward way to get the essentials sorted, so you can launch with confidence. Get in touch to find out more.

When your business is small, you answer questions as they come up, everyone knows what’s expected, and you’re involved i...
05/08/2026

When your business is small, you answer questions as they come up, everyone knows what’s expected, and you’re involved in almost everything.

But those informal ways of working become much harder to maintain as your team grows.

At what point do employment contracts stop being just a legal document and start becoming an important business tool?

Swipe through to see why growing businesses should think differently about employment contracts.

Just because a company doesn’t pursue an opportunity doesn’t automatically mean a director can.Directors have a duty to ...
04/08/2026

Just because a company doesn’t pursue an opportunity doesn’t automatically mean a director can.

Directors have a duty to act in the best interests of the company and to avoid conflicts between their personal interests and those of the business. That can include diverting business opportunities to themselves or another business they’re involved with.

Importantly, the issue isn’t simply whether the company was likely to take up the opportunity. Directors should also consider whether the opportunity properly belonged to the company in the first place.

A recent Court decision reinforced that directors can’t rely on assumptions or informal understandings to justify these situations. If authority or consent is required, it should be clear, informed and properly documented.

For directors involved in multiple businesses, understanding where those boundaries lie is essential. Managing conflicts proactively can help protect both the company and the individuals involved.

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