SQE1 - Solicitors Qualifying Examination Part 1 Ethics and Professional Conduct Questions and Answers

Question 1

A solicitor is acting for a client in a high-value commercial litigation case.
During a meeting, the client discloses that they intend to use the proceeds from the litigation, if successful, to fund a criminal enterprise.
The solicitor is concerned about their professional obligations.
Which of the following statements most accurately describes the solicitor's duty of confidentiality in this situation?

Accepted Answer

The solicitor is permitted, but not required, to disclose the information to the relevant authorities to prevent a future criminal act.

Answer

The solicitor must immediately report their client's intention to the police, as the 'iniquity' principle overrides the duty of confidentiality.

Answer

The solicitor must not disclose the information as the duty of confidentiality to their client is absolute and paramount in all circumstances.

Answer

The solicitor should cease to act for the client due to the conflict but must maintain confidentiality regarding the client's stated intention.

Question 2

A junior solicitor in a firm becomes aware that a partner is systematically and deliberately overcharging a major client by falsifying time-recording entries. The junior solicitor is concerned about their duty to report the matter. According to the SRA Code of Conduct, to whom should the junior solicitor report the serious breach?

Accepted Answer

To the firm's Compliance Officer for Legal Practice (COLP).

Answer

Directly to the client who is being overcharged.

Answer

To the Law Society for guidance on how to proceed.

Answer

Only to the Solicitors Disciplinary Tribunal (SDT) once they have gathered irrefutable evidence.

Question 3

A solicitor gives a personal, oral undertaking to another solicitor over the telephone to 'pay their client's costs of £5,000 within 14 days'. The solicitor made the undertaking without first securing the funds from their own client. The 14 days have now passed, and the client has not provided the funds. What is the legal and professional status of the undertaking?

Accepted Answer

The undertaking is personally binding on the solicitor, who must perform it from their own funds if necessary.

Answer

The undertaking is unenforceable because it was not given in writing.

Answer

The undertaking is not binding on the solicitor personally, only on their firm.

Answer

The undertaking is conditional on the solicitor receiving the funds from their client and is therefore currently suspended.

Question 4

A solicitor is instructed by a new client to handle the purchase of a residential property. The client is providing the funds from a recent inheritance. The solicitor has concerns that the client appears frail and does not fully understand the transaction, and the client's adult child is present at all meetings and answers most questions on their behalf. Which SRA Principle is most directly engaged by the solicitor's need to ensure they are acting on valid instructions?

Accepted Answer

Principle 7: Act in the best interests of each client.

Answer

Principle 2: Act in a way that upholds public trust and confidence.

Answer

Principle 4: Act with honesty.

Answer

Principle 5: Act with integrity.

Question 5

The Solicitors Disciplinary Tribunal (SDT) is hearing a case brought by the SRA against a solicitor accused of professional misconduct. What is the standard of proof that the SRA must meet for the SDT to find the allegations proven?

Accepted Answer

On the balance of probabilities.

Answer

Beyond all reasonable doubt.

Answer

Clear and convincing evidence.

Answer

Sufficient to satisfy a reasonably prudent solicitor.

Question 6

A law firm is instructed by both the buyer and the lender in a standard residential mortgage transaction. The lender's instructions state that the property must have been built at least 10 years ago. The solicitor discovers from the property searches that the house was completed only 8 years ago. Which of the following statements best describes the solicitor's position?

Accepted Answer

The solicitor must cease to act for both the buyer and the lender due to a conflict of interest.

Answer

The solicitor must inform the buyer but maintain confidentiality towards the lender.

Answer

The solicitor must inform the lender but maintain confidentiality towards the buyer.

Answer

The solicitor can continue to act for both parties after obtaining written consent from each of them.