Free SQE Mock Test 27 — 20 Questions + Full Answers
Solicitors Qualifying Examination · Trainee solicitors · SQE1 sits: Jan & Jul
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Applaa SQE Mock Test 27
applaa-sqe-mock-27.pdf · 20 questions
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8 of 20 shownCorrect answers highlighted in green. Full explanations included.
Prior to the formal incorporation of Epsilon Foods plc, a promoter (Liam) signed a contract 'on behalf of the company' to purchase machinery from a supplier. The company is now incorporated. Which of the following best describes the liability of Liam and the company on this pre-incorporation contract?
- A.The company is automatically bound by the contract upon incorporation, and the promoter is released.
- B.The contract is completely void and unenforceable by any party.
- C.The promoter is personally liable and entitled under the contract, subject to any agreement to the contrary, under Section 51 of the Companies Act 2006.
- D.The company and the promoter are jointly and severally liable automatically.
- E.The company can unilaterally ratify the contract without the supplier's agreement.
✓ Worked Explanation
Core Concept: Pre-Incorporation Contracts (Section 51 CA 2006) A company cannot be a party to a contract before it legally exists. When a promoter signs a contract 'on behalf of' an unformed company, Section 51 CA 2006 provides the default rule: the promoter is personally bound. Step-by-Step Resolution: 1. Legal Status Before Incorporation: Epsilon Foods plc had no legal existence when Liam signed the contract. There was no legal entity to be bound. 2. Apply Section 51: The contract takes effec
An employee of Delta Builders Ltd negligently injures a customer (Fredrick) while driving a company delivery van to make a scheduled delivery. The customer sues Delta Builders Ltd. What is the legal doctrine that allows the employer to be held liable, and what is the test?
- A.Res Ipsa Loquitur; requires showing the van was in a defective condition.
- B.Vicarious liability; requires showing that the employee committed a tort in the course of their employment.
- C.Strict liability; requires showing the employer acted with malicious intent.
- D.Privity of liability; requires a signed agreement between the employer and the customer.
- E.Contributory liability; requires allocating the claim to the Multi-Track.
✓ Worked Explanation
Core Concept: Vicarious Liability Vicarious liability makes an employer strictly liable for torts committed by their employee, where the tort occurs in the 'course of employment'. It is a form of secondary liability - the employer is liable even without their own fault. Step-by-Step Resolution: 1. Identify the Employer-Employee Relationship: The delivery driver is an employee of Delta Builders Ltd (not an independent contractor). 2. Course of Employment Test: Was the tort committed while perfor
A claimant (Mia) makes a valid CPR Part 36 settlement offer to the defendant (Kevin) of £7,500. The defendant rejects the offer. The case goes to trial, and the claimant wins, obtaining judgment of £8,625. 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. Mia's Offer: £7,500 - a valid Part 36 offer. 2. Kevin's Decision: Rejected the offer and proceeded to trial. 3. Trial Outcome: Mia wins £8,625 - which *exceeds* the Part 36 offer. This
A driver (Amelia) crashes into a pedestrian (Harry) who is crossing the street, causing physical injuries. To establish negligence, the claimant must show that the defendant owed them a duty of care. How does the court establish if a duty of care exists for physical damage caused by positive actions?
- A.By applying the three-stage Caparo test including fair, just, and reasonable criteria in every case.
- B.By finding that the case falls within an established duty category (such as road users to other road users) where a duty is automatically owed (Robinson v Chief Constable of West Yorkshire).
- C.By checking if the defendant signed a voluntary duty registration form.
- D.By proving the defendant intended to cause physical harm.
- E.By allocating the claim to the Fast Track under CPR guidelines.
✓ Worked Explanation
Core Concept: Duty of Care - Established Categories (Robinson v Chief Constable) Not every case requires a full Caparo analysis. The Supreme Court in Robinson v Chief Constable of West Yorkshire Police [2018] confirmed that where a case falls into an *established duty category*, the duty is owed as a matter of precedent. Step-by-Step Resolution: 1. Is this an Established Category?: A driver ('Amelia') causing physical injury to a pedestrian (Harry) through a positive act clearly falls within an
A builder (Daniel) contractually agreed to construct a wall for a customer (Oliver) 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 (Philip) makes a valid CPR Part 36 settlement offer to the defendant (Mila) of £250,000. The defendant rejects the offer. The case goes to trial, and the claimant wins, obtaining judgment of £287,500. 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. Philip's Offer: £250,000 - a valid Part 36 offer. 2. Mila's Decision: Rejected the offer and proceeded to trial. 3. Trial Outcome: Philip wins £287,500 - which *exceeds* the Part 36 of
A builder (Rose) contractually agreed to construct a wall for a customer (Lucas) 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 customer (Julia) is walking down a warehouse aisle when a heavy crate falls from a high shelf and injures them. The claimant has no evidence of what exactly caused the crate to fall. Can the claimant rely on the doctrine of 'Res Ipsa Loquitur'?
- A.No, because the claimant must prove the exact negligent act to bring a claim.
- B.Yes, if the thing causing the accident was under the sole control of the defendant, and the accident is one that does not occur in the ordinary course of things without negligence.
- C.No, because Res Ipsa Loquitur only applies to breach of contract claims.
- D.Yes, but the claimant's damages are automatically capped at £10,000.
- E.No, unless the defendant has already been convicted in a criminal court.
✓ Worked Explanation
Core Concept: Res Ipsa Loquitur ('The Thing Speaks for Itself') Res ipsa loquitur is an evidentiary doctrine that *shifts the evidential burden* to the defendant to provide an explanation for an accident. It assists claimants who cannot identify the exact cause of an accident but can show the circumstances make negligence the most probable explanation. Step-by-Step Resolution: 1. Three Requirements (Scott v London and St Katherine Docks [1865]): - The *thing* causing harm was under the defen
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Paper Info
- Exam
- SQE
- Mock number
- 27 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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