Supply Chain Law

Learning Hub

Contract management

Top 5 risks in supply chain management


1- Compliance risks: Following the laws of the counties in which you trade. For example, modern slavery laws and consumer laws.
2- Contract risks: All parties in the supply chain are reilant on people upstream following the terms of their agreements.
3- Intellectual property risks: Breaching another's trademark or patent causes both legal and reputational risks. Likewise, organisations face the risks of third parties breaching their IP which causes financial risks. 4- Bribery and corruption risks: Business development managers are at greater exposure to bribery and corruption risks in jurisdictions where facillitation payments are common. 5- Employment law and OH&S risks: Parties have employment law risks in their own business and sometimes viarious liability from their contracting partners.




Does a tender create a legally binding contract?


No. A tender is an invitation to contract (invitation to treat). To create a legally binding contract, you need need to be able to demonstrate an offer an acceptance. The tender process involves an invitation to express an offer by way of a tender response and the organisation can then either accept the tender response or put a counter offer to the parties.




Modern Slavery Act: What do Australian businesses need to know? [Free Guide]


What is Modern Slavery? Trafficking in persons; slavery; servitude; forced marriage; forced labour; debt bondage; deceptive recruiting for labour or services; and the worst forms of child labour (Section 8 of the Modern Slavery Act 2018). The worst forms of child labour means situations where children are subjected to slavery or similar practices, or engaged in hazardous work. Who needs to prepare a Modern Slavery Statement? Australian entities and foreign entites carrying out business in Australia with over $100 million of consolidated revenue. What are the 7 elements every modern slavery statement needs? 1- Identify the reporting entity; 2- Describe the reporting entity’s structure, operations and supply chains; 3- Describe the risks of modern slavery practices in the operations and supply chains of the reporting entity and any entities it owns or controls; 4- Describe the actions taken by the reporting entity and any entities it owns or controls to assess and address these risks, including due diligence and remediation processes; 5- Describe how the reporting entity assesses the effectiveness of these actions; 6- Describe the process of consultation with any entities the reporting entity owns or controls (a joint statement must also describe consultation with the entity giving the statement); and 7- Provide any other relevant information.





Consumer law

What are the 8 consumer guarantees?


Under the Australian Consumer Laws, when consumers purchase goods, thee are implied terms that the good they purchase from a seller are: 1- Of aceptable quality - the goods must be safe, lasting, have no faults, look acceptable and do all the things someone would normally expect them to do 2- Fit for any purpose that the consumer made known to the business before buying (either expressly or by implication), or the purpose for which the business said it would be fit for
3- Have been accurately described 4- Match any sample or demonstration model 5- Satisfy any express warranty (eg- if they say it works under water, then it needs to workunder water) 6- Have a clear title, unless you otherwise advise the consumer before the sale come with undisturbed possession, so no one has the right to take the goods away from or to prevent the consumer from using them 7- Free from any hidden securities or charges 8- Have spare parts and repair facilities reasonably available for a reasonable period of time, unless the consumer is advised otherwise.




What are the manufacturers and importers' guarantees?


There is an implied term that manufacturers and importers guarantee that their goods:
1- Are of acceptable quality 2- Have been accurately described 3-Satisfy any manufacturer’s express warranty; and 4-Have spare parts and repair facilities reasonably available for a reasonable period of time unless the consumer is advised otherwise.





Intellectual Property

What does it mean to white label a product?


White labelling is when a manufacturer creates a generic product which allows other companies to apply their branding to the product and sell it under their brand. This makes it look like the other companies manufatured the product.




White label v private labelling: What is the difference?


They are very similar. White labelling is a generic product which is sold to multiple companies to apply their own branding (labelling). A private label is where a maufacturer sells a generic product to one company to apply their branding.




If I pay a designer, who owns the intellectual property?


If you pay a designer to create a design for your business, you might assume that you then own the intellectual property (IP) they create for you. Not so fast. It depends on whether the designer is your employee or external contractor. This can cause lots of headaches. For example, the designer can: - Force you to stop using the IP - Send you a bill for royalties - Create the same design for another business - Sell their rights to the design to someone else Under the Copyright Act, the person who creates the work (such as the drawing), is the legal owner of the intellectual property. This is unless if they are your employee. Intellectual property created by employees at work as a part of their duties is owned automatically by their employer. What can you do to own the IP created by a designer you pay? An assignment of intellectual property agreement comes in handy. Here, you pay a fee to own the intellectual property. This then gives you full rights.




Licensing vs assignment of intellectual property: What is the difference?


Think of it like buying a home compared to renting. When you license a pice of intellectual property, you are renting it for a period of time, whereas when the IP is assigned to you, then you own it.





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