Michael while jogging in the public park in the township of Zenith, New South Wales, found a valuable sapphire necklace. There were no engravings nor were there any jewellery marks on the necklace. Michael asked several people in the park if they knew the identity of the owner but no one seemed to know anything about the necklace. After talking to various people for an hour, Michael jogged over to the office of the Zenith Council. Michael handed over the necklace to Roslyn, the town planner. Michael provided his contact details and asked that if no one came forward then he would like to claim the necklace.

After Michael left, Roslyn used her nail file to extract one of the sapphires. She wanted the sapphire to replace one she had lost from her antique ring. Roslyn then handed the necklace over to the Council Manager along with Michael’s contact details.

Several weeks later, Michael received a letter from the Council Manager stating that in line with Council policy, the necklace, along with other lost property, would be auctioned at the end of the year and proceeds from the sale would be deposited into Council general funds to be utilised for the benefit of all residents of Zenith.

After reading the letter Michael became very angry and decided to go for a jog to calm down. He stopped at the local supermarket to buy some water and he saw Roslyn buying groceries. He approached her to discuss the letter but then he noticed her sapphire ring. He recognised the sapphire as one that had been part of the necklace. Michael threw his hands up in the air and after paying for his water, ran out of the supermarket to seek some legal advice.

1 Does the answer identify the relevant legal issues?

2 Knowledge of relevant legislation and  relevant case law.

3 Application of the relevant legislation and case law to the facts of the question.

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