CASE: Badman v Drake [2008] NSWSC 1366

Dorothy Badman was 87 years old when she gave $345,000 to her hairdresser and friend Judith Drake.

Judith and her husband were about to lose their home. Dorothy agreed to give them the money and in exchange, she would live with there and escape the dreaded nursing home.

Before transferring the money, both Dorothy and Judith got legal advice from their own solicitors. The solicitors wanted to structure the transaction in such a way that it protected Dorothy's interest in the property.

The Drakes decided that the solicitors were only slowing things down. They were fired and the transfer went ahead in quick time.

Not long later and Dorothy was applying to the court to get her money back.