JOHN HENRY REYBURN

Findings — machine-extracted (anthropic-batch:claude-opus-4-8); verify against the decision

The WA State Administrative Tribunal found solicitor John Henry Reyburn guilty of unprofessional conduct on two counts arising from the sale of a settlement agency business (Mandurah Settlement Services) to an unlicensed employee, Ms Perich. He entered a contract that inevitably breached s 40(3) (and s 26) of the Settlement Agents Act 1981 by permitting her to use the company's settlement agents licence for an annual fee, and he gave her grossly negligent legal advice that the arrangement would overcome her lack of a licence, in circumstances of conflicting interests and without advising her to seek independent advice. The Tribunal expressly found the advice was NOT deliberately misleading (no dishonesty finding). Both allegations were established; penalty was deferred to be dealt with after hearing the parties, so no sanction or costs were ordered in this decision.

Duties found breached:

• No taking unfair advantage
• Honour professional undertakings
• No improper solicitation or touting

Aggravating factors:

• Practitioner had a substantial financial interest in the transaction
• Ms Perich reasonably relied on his advice given his status as principal of the law firm
• Practitioner failed to recommend she obtain independent legal advice despite conflicting interests
• Breach of s 40(3) was obvious and the practitioner could not reasonably have believed otherwise

Mitigating factors:

• Tribunal found the advice was NOT deliberately misleading
• No intention to bring about a breach of the law found
• The agreement was not a sham and the practitioner did provide some genuine supervision