Reference no: EM132050850

Dodo and Pina own a vacant lot together with vague plans to build a house sometime in the future. Dodo lives in Queensland while Pina has been renting a house in Melbourne next door to the vacant lot. Over the last few months, and with the rising cost of renting, Pina had the brainwave of building a shack on the lot out of materials he found at the local landfill. Being short of money, he borrowed from the Victoria State Bank to connect services such as water and electricity. The bank insisted on a mortgage so Pina forged Dodo's signature. Last month, Pina moved into his new abode but much to his dismay, neighbours complained to the Council about this eyesore and the Council served both Pina and Dodo with a notice to demolish and remove the shack. As this was not done by the specified deadline, the Council has now removed the shack from the property.

Pina has no money and no income. Dodo is now being chased by the bank (for the mortgage repayments) and by the Council (for the costs of removal of the shack). He is furious with Pina and sees no reason why he should be responsible for either debt.

Question Discuss whether Dodo is responsible for these debts.