SQE1 sample questions

Question 92

A solicitor is acting on behalf of executors. The solicitor arranges for a professional valuation of the contents of the deceased’s home from an experienced local auctioneer. Whilst the auctioneer is completing his work, the solicitor takes the opportunity to seek advice about items she intends to sell personally. The auctioneer tells the solicitor that if the auctioneer sells items for the estate, he will rebate a proportion of the commission paid on any items he sells for the solicitor personally.

The executors are satisfied with the auctioneer’s valuation and ask the solicitor to arrange for the sale of some of the deceased’s items on the auctioneer’s usual terms.

The sale, which also includes the solicitor’s personally owned items, takes place. The auctioneer rebates a proportion of the commission paid by the solicitor on her own items. The rebate represents approximately 5% of the commission paid by the estate. The solicitor does not inform the executors of the rebate because it relates to her personally owned items.

Can the solicitor keep the rebate?

A. Yes, because it was received on the sale of the solicitor’s personally owned items.

B. Yes, because its receipt by the solicitor does not cause any detriment to the estate.

C. Yes, because it is not significant in relation to the amount of the commission the estate has paid on its items.

D. No, because she should not have allowed her personally owned items to be in the same auction as the estate’s items.

E. No, because it was applied as a result of her instructions to arrange the sale of estate items.


E - No, because it was applied as a result of her instructions to arrange the sale of estate items.

Candidates who answered correctly: 63%


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