Jan provides financial advice to retail clients about managed investment schemes. Jan suggests to her retail clients that they purchase The High Fees Cash Management Trust. Jan succeeds in selling this product to Betty, an elderly pensioner with $15,000 to invest. The high fees are fully disclosed in the product disclosure statement. Five days after signing the contract, Betty has second thoughts and wants to donate her $15,000 to an animal welfare charity instead. When Betty notifies Jan of her decision, Jan says “It’s too late. You have signed a valid contract.”

Betty is very distressed and seeks your urgent advice. Required Using your own words and proper legal authority,

a) Advise Betty of her statutory rights.

b) Would alternative dispute resolution (ADR) be relevant to Betty’s case? Support your answer with relevant legislation.

Answer rating: 100% (QA)

a statutory rights are the rights granted under statute whether it is federal or state statutor... View the full answer