‘Important note: The assignment you submit on your canvas account must be your own work which you have planned and written independently. For further advice on academic integrity and/or how to use Turnitin, consult the LLB academic integrity page.’

Dear students,

The first assignment for LLB Business Organisations and Structures will be available on Friday 19th December 2025 at 12:00 noon.

The first assignment will be individual video presentation worth 40% of your overall module grade.

Due 20 Jan 2026 by 12:00 Points 100

Submitting a website url, a media recording, or a file upload

File types mp4, doc, and wmv

Available 19 Dec 2025 at 12:00 - 3 February 2026 at 12:00

Trainee Solicitor instructions
You are a trainee solicitor with the firm Wright Pickle & Co. You have received the following
telephone message.

Wright Pickle & Co Solicitors
Telephone message
To: Trainee
Message taken by: Julian (reception)
Time: 10am Date: [Today]
______________________________________________________
I have made an appointment for you to do an interview with Ayesha and Billie who are shareholders and directors of AutoGenius Ltd.  They are longstanding clients of Wright Pickle & Co. They want advice about the following:

Ayesha and Billie are experienced software developers who incorporated a private limited company called AutoGenius Ltd to develop and sell cutting-edge cybersecurity software. Ayesha holds 70% of the shares, while Billie owns the remaining 30%. Both serve as directors: Ayesha is the CEO, and Billie is the Chief Technology Officer (CTO), with both actively participating in the day-to-day running of the business.

AutoGenius enters into a contract with Netbook Ltd to supply specialised encryption software for £1.2 million. Due to severe product development delays and technical challenges, AutoGenius fails to meet several deadlines, leading to cash flow issues. As a result, AutoGenius becomes insolvent and cannot pay Netbook.

Netbook sues AutoGenius for breach of contract and seeks to hold Ayesha and Billie personally liable for the company's debts, arguing that AutoGenius was merely a façade for Ayesha and Billie’s personal business interests. Netbook claims that the corporate veil should be pierced to recover the debts from Ayesha and Billie personally.

Based on the above scenario, prepare a 10 minute video presentation responding to the following questions:

1. Explain the principle of separate legal personality and limited liability as established in Salomon v Salomon & Co Ltd [1897] AC 22 (provide key rulings by the CA and HL). How does this principle apply to AutoGenius and protect Ayesha and Billie from personal liability for the company's debts?
2. Under what circumstances might the courts pierce the corporate veil and hold shareholders personally liable for company debts? Discuss the statutory and common law exceptions to the rule in Salomon and explain how they might apply to Ayesha and Billie in this case.
3. How does Ayesha and Billie’s dual role as shareholders and directors affect their potential liability? Does their active involvement in AutoGenius’s management influence the protection afforded by the principle of separate legal personality.
4. Assess whether Netbook is likely to succeed in its attempt to pierce the corporate veil and hold Ayesha and Billie personally liable for AutoGenius’s debts. Discuss any relevant legal developments, case law, or statutory provisions that may support or undermine Netbook’s argument.