SQE1 sample questions

Question 39

A solicitor supplements his income with buy-to-let flats. The solicitor decides to sell one of the flats and use the capital for another investment. One of the solicitor's clients offers the full asking price for the flat and the solicitor accepts his client's offer.

In the full knowledge that the solicitor is the seller, the client instructs the same solicitor in writing to act as his solicitor in the transaction. The solicitor accepts the instruction and prepares all the documents. The transfer is completed without complications.

Were the solicitor's actions in accordance with the SRA Standards and Regulations?

A. Yes, because a solicitor can act where there is an own interest conflict if he has received written consent from the client.

B. Yes, because a solicitor can act where there is an own interest conflict if he is satisfied it is in his client's best interests.

C. Yes, because a solicitor can act where there is an own interest conflict if the solicitor and the client have a substantially common interest.

D. No, because a solicitor cannot act if there is an own interest conflict unless the solicitor and the client are competing for the same objective.

E. No, because a solicitor cannot act if there is an own interest conflict or a significant risk of an own interest conflict.