JOHN HENRY REYBURN

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

The 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 Ms Perich, an unlicensed person. The arrangement, involving a $10,000 'licensee fee', inevitably led to breaches of the Settlement Agents Act 1981 (s 26 and s 40(3)) by permitting Ms Perich to use the company's licence and carry on business unlicensed. Reyburn also gave grossly negligent legal advice that the licence problem could be overcome, in circumstances of conflicting financial interest and without recommending independent advice. The Tribunal expressly found the advice was NOT deliberately misleading; no finding of dishonesty was made. Penalty was deferred to a separate hearing.

Duties found breached:

• No taking unfair advantage
• Honour professional undertakings

Aggravating factors:

• Practitioner obtained a substantial monetary benefit from the transaction
• Conflict of interest - practitioner had a financial interest in the transaction on which he advised
• Ms Perich reasonably relied on him as a lawyer and principal of the company employing her
• Failed to recommend independent legal advice

Mitigating factors:

• Advice found not to be deliberately misleading
• No intention to bring about a breach of the law
• Some genuine belief that the arrangement complied with the Act (though unreasonable as to s 40(3))