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👋 G’day

Today’s brief:

  • From Hayne Royal Commission to president

  • Sydney’s new AI startup built on local law

  • Ashurst hires HSF Kramer PE specialist

Here’s your latest, PB #{{join_number}} 👇

WORD ON THE STREET

Hayne heavyweight

Rowena Orr

Rowena "Shock and Orr" Orr just became president of Victoria's Court of Appeal, five years after grilling bank executives at the Hayne royal commission. She made solicitor-general in 2021, then jumped straight to the bench in 2023, the fifth solicitor-general in a row elevated directly to the Court of Appeal. Now she leads the same court: AFR

  • Ben Plotnik has traded one US merger for another, leaving HSF Kramer for Ashurst Perkins Coie. He joins as a partner in Melbourne's corporate team, bringing 20+ years of advising PE, VC and institutional investors on fund formation: Point Blank

  • AI keeps stuffing up legal research, so Legora has launched a new tool to fix it — an AI-native citator plus a full map of how legal authorities rank against each other, built on tech from its Qura and Wexler acquisitions. It has catalogued over 50 ways AI gets legal research wrong: Point Blank

  • Meanwhile, Quillio is Sydney's answer to Harvey and Legora. Founder Samuel Junghenn built it on Aussie and NZ law, storing client data onshore, a pitch aimed squarely at lawyers nervous about privilege leaking offshore. Bootstrapped to $1m ARR before taking a cent of VC money: Capital Brief

PRACTICE POINTS

AI directions

⚖️ Litigation: In Rogers v McDonald's Australia Ltd (AI-use), Lee J made what appears to be the first direction under s 37P(2) of the Federal Court of Australia Act ordering parties to investigate using AI to prep a class action for mediation. The SDA's case against McDonald's over unpaid pre and post-shift work involves masses of scattered employment data — exactly the kind of grunt work His Honour reckons AI should be doing so lawyers can focus on judgment, not collation. No mandate to actually use it, but Lee J laid down four conditions any tool must meet: outputs stay traceable to source records, are testable for accuracy, protect confidentiality, and remain under human supervision: Federal Court of Australia, Clayton Utz

⚖️ Insolvency: In Banerjee (Liquidator) v Stojic, the Federal Court found Mrs Connie Stojic was a de facto director of a company at the centre of a phoenixing scheme, despite never being formally appointed. Justice Needham pointed to her control of the company's admin email, management of its finances, instructions to solicitors and accountants, and dealings with creditors as grounding the finding, alongside a "stooge" nominee director installed to shield her from liability. The Company was presumed insolvent from incorporation for failing to keep books under s 286 — enough on its own to establish insolvent trading under s 588G: Federal Court of Australia, Corrs Chambers Westgarth

⚖️ Privacy: With the Government's proposed Privacy Act reforms looming, Allens has set out five questions boards should be asking management now: (1) where are our biggest compliance gaps and what will they cost to fix; (2) how do we manage regulatory uncertainty and do we have the resources to implement change; (3) do we actually know what personal information we hold and where it sits; (4) are our third-party and vendor arrangements fit for the new regime; and (5) could we meet new data breach reporting requirements if a major breach happened tomorrow. Boards shouldn't wait for the law to pass before testing readiness: Allens

TALKING POINTS

Super debate

Super debate

Did you hear…

Pauline Hanson's plan to let renters and mortgage holders redirect a quarter of their super into their pay for three years has reignited debate over the 12% super guarantee. Economist Chris Richardson thinks 10% is enough. Challenger's Jonathan Kearns disagrees, warning a lower rate means more Australians ending up on the pension: Capital Brief

Also…

A Sydney council is voting to let lifeguards confiscate AI smart glasses at its pools, or kick out anyone who won't take them off. The worry is hidden cameras filming in change rooms undetected. Brisbane and Yarra Council have already done the same. Michelle Rowland won't ban the devices nationally, so councils are left to regulate it themselves: SMH

💰 What are Aussie lawyers really earning?

Ever wondered if you're being paid what you're worth?

Private practice lawyers, help us find out.

Anonymously share your salary, PQE, targets and firm.

(Two minutes. Fully anonymous.)

DEAL ROOM

Childcare tie-up

🧑‍🧑‍🧒‍🧒 Quadrant Private Equity is in exclusive talks to merge its Affinity Education business with Partners Group's Guardian Childcare, creating a $2bn combined group. G+T is advising Quadrant: AFR

🙅 Ingenia is resisting a hostile $2.9bn ($4.75/share) buyout from Warburg Pincus, with the board saying it substantially undervalues the company. Analysts reckon Warburg will need to sweeten the deal, with Citi pegging fair value near $6.5bn-6.8bn: AFR

SECTOR SNAPSHOT

Retail receivership

Cue

DIGGERS

🚜 BHP's Pilbara pay dispute is headed for the umpire. After a year of failed bargaining, unions want the Fair Work Commission to declare talks intractable, a move that forces BHP into mediation and, if that fails, a binding arbitrated deal. BHP reckons bargaining is still possible: AFR

FIN

🏦 Westpac is rolling AI into "every part of the bank", with 35,000 staff given access, 95% using it monthly and 72% weaving it into workflows. Analysts are sceptical it'll actually boost profits though, likening it to ATMs and eftpos — handy for customers, but historically no real win for shareholders: Capital Brief

RETAIL + REAL ESTATE

🏠 Cue Clothing and sister brand Veronika Maine have gone into receivership after nearly 60 years, despite a recent sales uptick and narrowing losses. Owner Hilco Capital blamed high costs, with FTI Consulting now running a sale process for the 51-store network while stores keep trading in the meantime: AFR

TECH + STARTUPS

📱 OpenAI, Anthropic and Google DeepMind are quietly teaming up on AI safety, with OpenAI's policy chief saying no antitrust waiver is needed to do it. The move follows Dario Amodei's viral essay urging a slowdown on frontier AI, though Trump's dismissed safety fears as "a hoax": Bloomberg

P.S.

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