SQE1 — Solicitors Qualifying Examination Part 1 — Questions and Answers

Question 1: Under the Theft Act 1968, which element of theft requires that the defendant's appropriation be without legal right?

Appropriation
Property
Intention to permanently deprive
Dishonesty (Correct answer)
Belonging to another

Correct answer: Dishonesty

Dishonesty is the element that addresses whether the appropriation was without legal right. The test for dishonesty was reformulated in Ivey v Genting Casinos [2017], which replaced the two-stage Ghosh test with an objective assessment of the defendant's conduct.

Question 2: In a claim for occupiers' liability, what duty is owed to a trespasser under the Occupiers' Liability Act 1984?

No duty at all
A duty to take reasonable care if the occupier knows or has reasonable grounds to believe the trespasser is near the danger (Correct answer)
An absolute duty to ensure safety
The same duty as owed to lawful visitors

Correct answer: A duty to take reasonable care if the occupier knows or has reasonable grounds to believe the trespasser is near the danger

Under the Occupiers' Liability Act 1984, a duty is owed to trespassers if the occupier is aware of the danger (or has reasonable grounds to believe it exists), knows or has reasonable grounds to believe the trespasser is in the vicinity, and the risk is one against which the occupier may reasonably be expected to offer protection.

Question 3: A solicitor is advising a client who has received a 'Letter of Claim' under the Pre-Action Protocol for Debt Claims. The client is an individual who disputes the amount owed to a large retail company. According to the protocol, what is the minimum period the client must be given to respond to the Letter of Claim before the creditor can start court proceedings?

14 days
21 days
30 days (Correct answer)
28 days

Correct answer: 30 days

The Pre-Action Protocol for Debt Claims, which applies to businesses (including sole traders) claiming payment of a debt from an individual, states that the debtor must be given a minimum of 30 days to respond to the Letter of Claim. The creditor should not start court proceedings until at least 30 days from the date of the letter. This period allows the debtor to seek advice, gather information, and complete the Reply Form.

Question 4: What is the maximum sentence for fraud by false representation under the Fraud Act 2006?

10 years' imprisonment (Correct answer)
5 years' imprisonment
2 years' imprisonment
Life imprisonment

Correct answer: 10 years' imprisonment

Section 1 of the Fraud Act 2006 provides for a maximum sentence of 10 years' imprisonment on conviction on indictment for fraud offences, including fraud by false representation (section 2).

Question 5: A homeowner emails a local builder, 'I will pay you £20,000 to build a single-storey extension to my kitchen according to the attached plans. I need it finished by 1st October.' The builder replies by email, 'I accept your offer to build the extension for £20,000 based on the plans. My team can start in two weeks.' A binding contract is formed at which point?

When the homeowner's email server sends the initial email.
When the builder begins the work.
When the builder's acceptance email is received by the homeowner. (Correct answer)
When the homeowner sends the initial email.

Correct answer: When the builder's acceptance email is received by the homeowner.

For instantaneous methods of communication like email, the general rule of acceptance (the 'receipt rule') applies. The contract is formed when the acceptance is communicated to the offeror, which means when the acceptance email is received by the homeowner. The postal rule, where acceptance is effective on posting, does not apply to instantaneous communications (Entores Ltd v Miles Far East Corporation). Sending the initial email is just an offer, and starting the work would be conduct indicating acceptance, but the communicated acceptance via email forms the contract at the point of receipt.

Question 6: In a personal injury claim, damages are often categorised as either general or special. Which of the following would be classified as special damages?

Compensation for the physical pain and suffering caused by the injury.
Compensation for the loss of enjoyment of a hobby, such as playing a sport.
Damages for the psychological impact, such as post-traumatic stress disorder.
The cost of prescription medication and physiotherapy incurred up to the date of the trial. (Correct answer)

Correct answer: The cost of prescription medication and physiotherapy incurred up to the date of the trial.

Special damages are awarded for a claimant's quantifiable financial losses that have been incurred up to the date of trial. [48] These are losses that can be precisely calculated, such as medical expenses, travel costs for appointments, and loss of past earnings. [29, 40] General damages, on the other hand, are for non-quantifiable losses like pain, suffering, loss of amenity (enjoyment of life), and psychological harm, which are assessed by the court based on judicial guidelines. [25, 47]

Question 7: A woman owned a large house with an adjoining cottage, both set in extensive grounds. She lived in the house and, for many years, accessed the cottage via a clearly defined and tarmacked driveway that crossed the grounds of the main house. She then sold the cottage to a buyer, but the transfer deed made no mention of any right of way over the driveway. The woman now seeks to prevent the buyer from using the driveway. On what basis is the buyer most likely to establish a legal right of way over the driveway?

By claiming a prescriptive easement.
Under the rule in *Wheeldon v Burrows*. (Correct answer)
By virtue of section 62 of the Law of Property Act 1925.
By claiming an easement of necessity.

Correct answer: Under the rule in *Wheeldon v Burrows*.

The rule in *Wheeldon v Burrows* implies the grant of easements into a conveyance of part of a larger piece of land. The rule applies where the right was 'continuous and apparent' and 'necessary for the reasonable enjoyment' of the part sold, which is the case here with a visible, tarmacked drive that was used to access the cottage before the sale. An easement of necessity is unlikely as it requires the land to be otherwise landlocked. Section 62 is less likely to apply as there was no prior diversity of occupation. Prescription requires 20 years of use as of right, which hasn't occurred since the sale.

Question 8: What principle was established in Hadley v Baxendale (1854) regarding damages for breach of contract?

Damages are limited to losses that were reasonably foreseeable at the time of contract formation (Correct answer)
Consequential losses can never be recovered
The innocent party can always recover all losses caused by the breach
Only the value of the contract price can be recovered

Correct answer: Damages are limited to losses that were reasonably foreseeable at the time of contract formation

Hadley v Baxendale established the remoteness principle: damages for breach of contract are recoverable only if they arise naturally from the breach (limb 1) or were within the reasonable contemplation of both parties at contract formation (limb 2).

Question 9: Under the Companies Act 2006, what is the minimum number of directors required for a private limited company?

Three
One (Correct answer)
None
Two

Correct answer: One

Under s.154 of the Companies Act 2006, a private limited company must have at least one director. A public limited company must have at least two directors.

Question 10: What is 'overreaching' in the context of English land law?

A method by which a mortgagee enforces security
A landlord's remedy to remove a tenant exceeding their lease rights
A planning authority's power to override a covenant
A mechanism by which certain equitable interests (e.g., beneficial interests under a trust) are detached from the land and attach to the purchase money when land is sold by two trustees (Correct answer)

Correct answer: A mechanism by which certain equitable interests (e.g., beneficial interests under a trust) are detached from the land and attach to the purchase money when land is sold by two trustees

Overreaching allows a purchaser of legal title to take the land free of beneficial interests under a trust of land, provided they pay the purchase money to at least two trustees. The beneficial interests are then transferred from the land to the proceeds of sale.

Question 11: Under the Land Registration Act 2002, certain dispositions of a registered estate must be completed by registration to operate at law. Which of the following transactions is a 'registrable disposition'?

The creation of an interest under a resulting trust.
The grant of a legal charge. (Correct answer)
The grant of a lease for a term of exactly five years.
A contract for the sale of a freehold estate.

Correct answer: The grant of a legal charge.

Section 27 of the Land Registration Act 2002 lists the dispositions that must be registered to take legal effect. Section 27(2)(f) explicitly includes 'the grant of a legal charge'. A lease is only required to be registered if its term is for more than seven years (s.27(2)(b)). An interest under a resulting trust is an equitable interest, not a registrable disposition itself, although it can be protected by other means. A contract for sale creates an equitable interest and can be protected by a notice, but it is not the disposition that transfers the legal estate.

Question 12: What is the purpose of a 'completion statement' in a conveyancing transaction?

A statement by the court confirming the sale is complete
A statement confirming planning permission has been obtained
A statutory declaration by the seller confirming vacant possession
A financial statement prepared by the solicitors showing the balance of funds to be paid by the buyer on completion, taking into account all adjustments (Correct answer)

Correct answer: A financial statement prepared by the solicitors showing the balance of funds to be paid by the buyer on completion, taking into account all adjustments

A completion statement sets out all the financial adjustments required on completion (purchase price, deposit paid, apportionments of outgoings, SDLT, Land Registry fees) and shows the net amount the buyer's solicitor must transfer to the seller's solicitor on completion day.

Question 13: Which type of resulting trust arises where a person contributes to the purchase price of property but legal title is conveyed into another's name?

Automatic resulting trust
Presumed resulting trust (Correct answer)
Institutional resulting trust
Constructive resulting trust

Correct answer: Presumed resulting trust

A presumed resulting trust arises from circumstances giving rise to a presumption — such as a purchase price contribution — that the legal owner holds on trust for the contributor.

Question 14: A UK limited company is facing severe financial distress. Its directors believe the business is fundamentally viable but needs protection from creditor action to allow for a restructuring plan to be implemented. Which insolvency procedure is most appropriate for this objective?

Company Voluntary Arrangement (CVA)
Members' Voluntary Liquidation
Compulsory Liquidation
Administration (Correct answer)

Correct answer: Administration

Administration is designed to achieve one of several statutory objectives, the primary one being to rescue the company as a going concern. When a company enters administration, a statutory moratorium is put in place, which prevents creditors from taking legal action against the company without the court's or the administrator's consent. This provides the 'breathing space' needed to attempt a rescue or restructuring. Liquidation is a terminal process, and a CVA, while it restructures debt, does not offer the same comprehensive moratorium from the outset.

Question 15: A man is arrested at 10:00 on Tuesday on suspicion of robbery, an indictable offence. He is taken to a designated police station, and his detention is authorised by the custody officer. What is the latest time the police can detain him without charge before they MUST apply to a magistrates' court for a warrant of further detention?

10:00 on Wednesday
10:00 on Thursday
22:00 on Wednesday (Correct answer)
22:00 on Tuesday

Correct answer: 22:00 on Wednesday

Under the Police and Criminal Evidence Act 1984 (PACE), the initial maximum period of detention without charge is 24 hours from the 'relevant time' (the time of arrival at the first police station). This initial period would expire at 10:00 on Wednesday. However, for an indictable offence, a police officer of the rank of superintendent or above can authorise a further 12 hours of detention if certain conditions are met. This extends the maximum period of detention without a warrant to 36 hours, which would expire at 22:00 on Wednesday. Any detention beyond this point requires a warrant of further detention from a magistrates' court.

Question 16: Which of the following is NOT a requirement for the defence of duress by threats under English criminal law?

The threat must be directed at the defendant or a close family member or someone for whom the defendant feels responsible
The defendant must have reported the threat to the police within 24 hours (Correct answer)
The threat must be of death or serious injury
The defendant must have had no reasonable opportunity to escape the threat

Correct answer: The defendant must have reported the threat to the police within 24 hours

There is no requirement to report to police within 24 hours. The requirements for duress are: a threat of death or serious physical injury, directed at the defendant or close associates, with no reasonable opportunity to escape, and the defendant's response must be that of a reasonably steadfast person.

Question 17: Under the Wills Act 1837, what formalities are required for a valid will in England and Wales?

A solicitor must witness every will for it to be valid
The will must be typed and signed by the testator only
The will must be registered at the Probate Registry to be valid
The will must be in writing, signed by the testator (or by another in their presence and by their direction), with the testator's signature made or acknowledged in the presence of two witnesses present at the same time, who then sign the will (Correct answer)

Correct answer: The will must be in writing, signed by the testator (or by another in their presence and by their direction), with the testator's signature made or acknowledged in the presence of two witnesses present at the same time, who then sign the will

Under s.9 of the Wills Act 1837 (as amended), a valid will must: be in writing; be signed by the testator (or by another in their presence and by their direction); the testator's signature must be made or acknowledged in the presence of two or more witnesses present at the same time; and each witness must sign in the testator's presence.

Question 18: A legal theorist argues that the 'Rule of Law' requires only that laws are clear, publicised in advance, stable, and applied prospectively, without regard to whether the content of those laws is morally just or fair. Which conception of the Rule of Law is being described?

Substantive
Political
Formal (Correct answer)
Procedural

Correct answer: Formal

This describes the 'formal' conception of the Rule of Law. Formalist theories focus on the form and procedure of law-making and application—such as clarity, publicity, and prospectivity—rather than the substantive content or moral quality of the laws. [23, 24, 30] A substantive conception, by contrast, would incorporate elements of justice and the protection of fundamental rights within the definition of the Rule of Law. [15, 24]

Question 19: A developer purchased a plot of registered freehold land in 2020. The transfer from the seller contained a covenant requiring the developer and its successors in title 'to construct and forever maintain at its own expense a substantial boundary fence' along the border with the seller's retained land. The developer built the fence but sold the plot in 2023 to a new owner. The fence has now fallen into disrepair. The original seller wishes to enforce the covenant against the new owner. What is the correct legal position?

The covenant is enforceable as it was correctly protected by a notice on the register.
The covenant is enforceable because the benefit runs with the retained land.
The covenant is enforceable under the principle of mutual benefit and burden.
The covenant is likely to be unenforceable as the burden of a positive covenant does not run with freehold land. (Correct answer)

Correct answer: The covenant is likely to be unenforceable as the burden of a positive covenant does not run with freehold land.

The covenant to 'construct and forever maintain' a fence requires the expenditure of money and is therefore a positive covenant. The long-established rule, confirmed by the House of Lords in *Rhone v Stephens*, is that the burden of a positive covenant does not run with the freehold land either at common law or in equity. Therefore, the original seller cannot directly enforce the covenant against the new owner, who was not a party to the original deed. The other options are incorrect as they do not overcome this fundamental rule.

Question 20: What is the primary distinction between a condition and a warranty in a contract?

Breach of a condition entitles the innocent party to terminate and claim damages; breach of a warranty allows only a claim for damages (Correct answer)
Conditions apply to goods; warranties apply to services
A condition is written; a warranty is oral
Warranties are more important than conditions

Correct answer: Breach of a condition entitles the innocent party to terminate and claim damages; breach of a warranty allows only a claim for damages

A condition is a fundamental term: breach entitles the innocent party to treat the contract as terminated (repudiated) and claim damages. Breach of a warranty (a less important term) allows only a damages claim — the innocent party cannot terminate.

Question 21: Under the Legal Services Act 2007, which body is the oversight regulator for all approved legal regulators?

The Legal Services Board (Correct answer)
The Law Society
The Bar Standards Board
The Solicitors Regulation Authority

Correct answer: The Legal Services Board

The Legal Services Board (LSB) was established by the Legal Services Act 2007 as the oversight regulator. It oversees approved regulators including the SRA (solicitors), BSB (barristers), and CILEx Regulation (legal executives).

Question 22: What is a 'covenant for quiet enjoyment' implied into every lease?

An obligation on the tenant to keep the property quiet at all hours
A landlord's obligation not to interfere with the tenant's lawful possession and enjoyment of the property (Correct answer)
A right for the landlord to inspect the property at any time
An obligation on the tenant to keep noise levels below a set limit

Correct answer: A landlord's obligation not to interfere with the tenant's lawful possession and enjoyment of the property

The covenant for quiet enjoyment, implied into every lease, obliges the landlord not to interfere with or disturb the tenant's lawful possession and enjoyment of the property. Breach can entitle the tenant to damages or an injunction.

Question 23: What is the purpose of the SRA Accounts Rules regarding client money?

To ensure solicitors invest client money for maximum returns
To regulate the fees solicitors can charge
To allow solicitors to use client money for office expenses temporarily
To ensure client money is kept separate from the firm's own money and properly safeguarded (Correct answer)

Correct answer: To ensure client money is kept separate from the firm's own money and properly safeguarded

The SRA Accounts Rules require that client money is kept separate from the firm's money in a designated client account. This protects client funds from being mixed with the firm's finances and ensures they are available when needed.

Question 24: For discretionary trusts, which test for certainty of objects was adopted by the House of Lords in McPhail v Doulton [1971]?

The majority test
The complete list test
The is or is not test (Correct answer)
The substantial number test

Correct answer: The is or is not test

In McPhail v Doulton the House of Lords applied the 'is or is not' test: a discretionary trust is valid if it can be said with certainty of any given person whether they are or are not within the class.

Question 25: Under the principle of the rule of law, as articulated by Dicey, which of the following is a key requirement?

The government may act without legal authority in emergencies
No person shall be punished except for a distinct breach of law established before the ordinary courts (Correct answer)
The monarch is above the law
Administrative tribunals are superior to ordinary courts

Correct answer: No person shall be punished except for a distinct breach of law established before the ordinary courts

Dicey's rule of law requires that no person shall be punished or made to suffer except for a distinct breach of law established in the ordinary legal manner before the ordinary courts. This ensures legal certainty and prohibits arbitrary punishment.

Question 26: Which of the following statements accurately describes the procedure for passing a written resolution in a private limited company in the UK?

A written resolution is passed when a simple majority of members who have received it signify their agreement.
Public limited companies can use the written resolution procedure for routine decisions.
A written resolution can be used to remove a director before the expiration of their term of office.
A written resolution requires the same percentage of votes to pass as a resolution at a general meeting (simple majority for ordinary, 75% for special). (Correct answer)

Correct answer: A written resolution requires the same percentage of votes to pass as a resolution at a general meeting (simple majority for ordinary, 75% for special).

Under the Companies Act 2006, a written resolution of a private company is passed if the required majority of eligible members signify their agreement. For an ordinary resolution, this is a simple majority (over 50%) of the total voting rights, and for a special resolution, it is a majority of not less than 75% of the total voting rights. The Companies Act 2006 specifically prohibits the use of a written resolution to remove a director or an auditor before their term has expired (s288(2)). This procedure is only available to private companies, not public ones.

Question 27: Which of the following is a key requirement for a Deed of Variation to be effective for 'reading back' to the date of death for Inheritance Tax (IHT) and Capital Gains Tax (CGT) purposes?

It must be made within six months of the Grant of Probate being issued.
It must be made in writing within two years of the date of death and contain a statement of intent for the relevant taxes. (Correct answer)
It must be signed by all executors and every beneficiary named in the original will.
It must be approved by the High Court before being executed.

Correct answer: It must be made in writing within two years of the date of death and contain a statement of intent for the relevant taxes.

For a variation to be treated for IHT and CGT purposes as if it had been made by the deceased, several conditions must be met under s142 of the Inheritance Tax Act 1984 and s62 of the Taxation of Chargeable Gains Act 1992. The most critical requirements are that the variation must be made in writing, executed within two years of the deceased's death, and contain a clear statement that the parties intend for these sections to apply.

Question 28: What is the role of 'requisitions on title' in a conveyancing transaction?

The Land Registry's questions about the application for registration
The seller's formal offer to sell at a set price
Planning authority queries about proposed use of the property
The buyer's solicitor's written enquiries to the seller's solicitor about title and other matters arising from deduction of title (Correct answer)

Correct answer: The buyer's solicitor's written enquiries to the seller's solicitor about title and other matters arising from deduction of title

Requisitions on title are written questions raised by the buyer's solicitor to the seller's solicitor following review of the title documentation, seeking clarification or resolution of queries about the title before exchange of contracts.

Question 29: A testator signs her will in her kitchen. A neighbour, who is a beneficiary, is present and signs as the first witness. The testator then takes the will to an adjacent room where another neighbour signs as the second witness. The first witness is not present when the second witness signs. What is the legal effect of this situation on the will?

The will is valid, and the gift to the first witness is unaffected.
The will is valid, but the gift to the first witness fails.
The will is invalid because a beneficiary cannot be a witness.
The will is invalid as it was not signed or acknowledged in the presence of two witnesses present at the same time. (Correct answer)

Correct answer: The will is invalid as it was not signed or acknowledged in the presence of two witnesses present at the same time.

Section 9 of the Wills Act 1837 requires the testator to sign or acknowledge their signature 'in the presence of two or more witnesses present at the same time'. As the two witnesses were not present together when the testator's signature was made or acknowledged, this fundamental requirement has not been met, rendering the entire will invalid. While it is true that a gift to a beneficiary who acts as a witness would fail under s15 of the Act, the failure to comply with the s9 presence requirement is a more fundamental flaw that invalidates the will itself.

SQE1 — Solicitors Qualifying Examination Part 1

SQE1 tests Functioning Legal Knowledge (FLK) across 12 areas of English and Welsh law via single-best-answer MCQs, and is required to qualify as a solicitor in England and Wales under the Solicitors Regulation Authority framework.

360

Questions

612 min

Time Limit

60%

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