Free SQE Mock Test 236 — 20 Questions + Full Answers
Solicitors Qualifying Examination · Trainee solicitors · SQE1 sits: Jan & Jul
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Applaa SQE Mock Test 236
applaa-sqe-mock-236.pdf · 20 questions
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8 of 20 shownCorrect answers highlighted in green. Full explanations included.
A claimant (Evelyn) makes a valid CPR Part 36 settlement offer to the defendant (Penelope) of £180,000. The defendant rejects the offer. The case goes to trial, and the claimant wins, obtaining judgment of £206,999. What is the primary costs consequence under Part 36?
- A.The claimant must pay the defendant's costs on the indemnity basis.
- B.The defendant must pay the claimant's costs on the indemnity basis, plus interest on those costs, from the expiry of the relevant offer period.
- C.The court will split the trial costs equally between both parties.
- D.All costs recovery is capped at the Small Claims Track limit.
- E.The defendant is immune to costs penalties because they defended the claim in good faith.
✓ Worked Explanation
Core Concept: CPR Part 36 Offers and Cost Consequences A Part 36 offer is a formal settlement mechanism under CPR. When a claimant's Part 36 offer is beaten at trial (i.e., judgment exceeds the offer), the defendant faces automatic cost penalties designed to encourage early settlement. Step-by-Step Resolution: 1. Evelyn's Offer: £180,000 - a valid Part 36 offer. 2. Penelope's Decision: Rejected the offer and proceeded to trial. 3. Trial Outcome: Evelyn wins £206,999 - which *exceeds* the Part 3
A claimant (Rose) makes a valid CPR Part 36 settlement offer to the defendant (Thomas) of £5,000. The defendant rejects the offer. The case goes to trial, and the claimant wins, obtaining judgment of £5,750. What is the primary costs consequence under Part 36?
- A.The claimant must pay the defendant's costs on the indemnity basis.
- B.The defendant must pay the claimant's costs on the indemnity basis, plus interest on those costs, from the expiry of the relevant offer period.
- C.The court will split the trial costs equally between both parties.
- D.All costs recovery is capped at the Small Claims Track limit.
- E.The defendant is immune to costs penalties because they defended the claim in good faith.
✓ Worked Explanation
Core Concept: CPR Part 36 Offers and Cost Consequences A Part 36 offer is a formal settlement mechanism under CPR. When a claimant's Part 36 offer is beaten at trial (i.e., judgment exceeds the offer), the defendant faces automatic cost penalties designed to encourage early settlement. Step-by-Step Resolution: 1. Rose's Offer: £5,000 - a valid Part 36 offer. 2. Thomas's Decision: Rejected the offer and proceeded to trial. 3. Trial Outcome: Rose wins £5,750 - which *exceeds* the Part 36 offer. T
A claimant (Alice) makes a valid CPR Part 36 settlement offer to the defendant (Uma) of £35,000. The defendant rejects the offer. The case goes to trial, and the claimant wins, obtaining judgment of £40,250. What is the primary costs consequence under Part 36?
- A.The claimant must pay the defendant's costs on the indemnity basis.
- B.The defendant must pay the claimant's costs on the indemnity basis, plus interest on those costs, from the expiry of the relevant offer period.
- C.The court will split the trial costs equally between both parties.
- D.All costs recovery is capped at the Small Claims Track limit.
- E.The defendant is immune to costs penalties because they defended the claim in good faith.
✓ Worked Explanation
Core Concept: CPR Part 36 Offers and Cost Consequences A Part 36 offer is a formal settlement mechanism under CPR. When a claimant's Part 36 offer is beaten at trial (i.e., judgment exceeds the offer), the defendant faces automatic cost penalties designed to encourage early settlement. Step-by-Step Resolution: 1. Alice's Offer: £35,000 - a valid Part 36 offer. 2. Uma's Decision: Rejected the offer and proceeded to trial. 3. Trial Outcome: Alice wins £40,250 - which *exceeds* the Part 36 offer.
A builder (Bob) contractually agreed to construct a wall for a customer (Victoria) for £5,000. Halfway through the job, the builder states they cannot finish unless the customer pays an extra £1,000. The customer agrees. After completion, the customer refuses to pay the extra £1,000. Under Williams v Roffey Bros, is the promise to pay the extra £1,000 binding?
- A.No, because performing an existing contractual duty can never be good consideration.
- B.Yes, if the customer obtained a practical benefit (such as avoiding a penalty clause to a third party) and there was no economic duress.
- C.No, because a promise to pay more must be approved by the County Court under CPR regulations.
- D.Yes, because oral contracts are automatically binding regardless of consideration.
- E.No, because it violates Section 52 of the Law of Property Act 1925.
✓ Worked Explanation
Core Concept: Consideration and Practical Benefit (Williams v Roffey Bros) The traditional rule (Stilk v Myrick) held that performing an existing contractual duty cannot be good consideration. Williams v Roffey Bros [1990] modified this rule: performing an existing duty CAN be valid consideration if the promisee obtains a 'practical benefit'. Step-by-Step Resolution: 1. Traditional Rule: A builder promising to finish what they're already contractually bound to do provides nothing new - no consi
A claimant (Alice) has applied for summary judgment against a defendant (Julia) under CPR Part 24. What is the test that the court must apply to determine whether summary judgment should be granted?
- A.The claimant must prove the case beyond all reasonable doubt.
- B.The defendant has no real prospect of successfully defending the claim, and there is no other compelling reason why the case should be disposed of at trial.
- C.The value of the claim must be less than £10,000.
- D.The defendant has failed to acknowledge service of the claim form within 14 days.
- E.The dispute involves questions of international law.
✓ Worked Explanation
Core Concept: Summary Judgment under CPR Part 24 Summary judgment allows a party to obtain judgment *without a full trial* where the opposing party's case has no real prospect of success. It is a cost-effective tool that avoids unnecessary litigation. Step-by-Step Resolution: 1. Who Can Apply: Either the claimant or defendant can apply for summary judgment under CPR Part 24.2. 2. The Test: The court will grant summary judgment if: - The defendant has no real prospect of successfully defendin
A director of Vanguard Industries plc (a private company limited by shares) wants to allot new shares to a new investor (Amelia) to raise capital of £35,000. The company has only one class of ordinary shares. Under the Companies Act 2006, which of the following is correct regarding the director's authority to allot these shares?
- A.The director has automatic statutory authority to allot the shares without shareholder approval under Section 550, unless restricted by the articles.
- B.The director must always obtain authorization by ordinary resolution of the shareholders under Section 551.
- C.The director must obtain authorization by special resolution of the shareholders to allot any shares.
- D.The director requires the approval of the Board of Trade before alloting any class of shares.
- E.Authority is only required if the allotment would cause the company to exceed its authorised share capital as stated in the memorandum.
✓ Worked Explanation
Core Concept: Director's Authority to Allot Shares (Section 550 CA 2006) The Companies Act 2006 grants directors of private companies with a single class of shares a specific statutory power to allot shares of that class without requiring shareholder approval - unless the articles restrict this. Step-by-Step Resolution: 1. Identify Company Type: Vanguard Industries plc is a *private* company limited by shares with *one* class of ordinary shares. 2. Apply Section 550: Directors of such a company
A claimant (James) has applied for summary judgment against a defendant (Xavier) under CPR Part 24. What is the test that the court must apply to determine whether summary judgment should be granted?
- A.The claimant must prove the case beyond all reasonable doubt.
- B.The defendant has no real prospect of successfully defending the claim, and there is no other compelling reason why the case should be disposed of at trial.
- C.The value of the claim must be less than £10,000.
- D.The defendant has failed to acknowledge service of the claim form within 14 days.
- E.The dispute involves questions of international law.
✓ Worked Explanation
Core Concept: Summary Judgment under CPR Part 24 Summary judgment allows a party to obtain judgment *without a full trial* where the opposing party's case has no real prospect of success. It is a cost-effective tool that avoids unnecessary litigation. Step-by-Step Resolution: 1. Who Can Apply: Either the claimant or defendant can apply for summary judgment under CPR Part 24.2. 2. The Test: The court will grant summary judgment if: - The defendant has no real prospect of successfully defendin
A claimant (Sophia) makes a valid CPR Part 36 settlement offer to the defendant (Wendy) of £25,000. The defendant rejects the offer. The case goes to trial, and the claimant wins, obtaining judgment of £28,749. What is the primary costs consequence under Part 36?
- A.The claimant must pay the defendant's costs on the indemnity basis.
- B.The defendant must pay the claimant's costs on the indemnity basis, plus interest on those costs, from the expiry of the relevant offer period.
- C.The court will split the trial costs equally between both parties.
- D.All costs recovery is capped at the Small Claims Track limit.
- E.The defendant is immune to costs penalties because they defended the claim in good faith.
✓ Worked Explanation
Core Concept: CPR Part 36 Offers and Cost Consequences A Part 36 offer is a formal settlement mechanism under CPR. When a claimant's Part 36 offer is beaten at trial (i.e., judgment exceeds the offer), the defendant faces automatic cost penalties designed to encourage early settlement. Step-by-Step Resolution: 1. Sophia's Offer: £25,000 - a valid Part 36 offer. 2. Wendy's Decision: Rejected the offer and proceeded to trial. 3. Trial Outcome: Sophia wins £28,749 - which *exceeds* the Part 36 off
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Paper Info
- Exam
- SQE
- Mock number
- 236 of 250
- Questions
- 20
- Format
- Multiple Choice (MCQ)
- Sections
- 1
- Audience
- Trainee solicitors
- Timing
- SQE1 sits: Jan & Jul
- Copyright
- Applaa Proprietary
Sections Covered
- FLK1
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