Monday 9 February 2026
Your weekly SQE Prep Quiz has arrived
Dear Subscriber,
Hope you had a great weekend. Please see below for the question, the answer to the previous question and associated resources. This is the web version of this newsletter.
This Week’s Question: A firm of solicitors acts for a company in the sale of a commercial property. On completion, the firm receives £240,000 from the buyer’s solicitors. Of this sum, £220,000 represents the purchase price due to the client, £15,000 represents the firm’s agreed fees (which have not yet been billed), and £5,000 represents anticipated Land Registry fees and SDLT.
The firm pays the entire £240,000 into its client account. Two days later, before delivering a bill, the firm transfers £15,000 from client account to office account. No client authority has been given for the transfer.
Which statement best reflects the firm’s position?
A. The transfer is permitted because the firm was entitled to the fees on completion.
B. The transfer is permitted because the money was a mixed payment.
C. The transfer breaches the Accounts Rules because no bill had been delivered.
D. The transfer breaches the Accounts Rules only if the client later disputes the fees.
E. The transfer is permitted provided the firm replaces the money within 14 days.
Dig Deeper: Learn more about FLK2 Solicitors Accounts, on https://youtu.be/IIL-lqL5lD0
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Last Week’s Question: A man has occupied part of his neighbour’s registered freehold land since 2014. He fenced it off, maintained it, and used it as part of his garden. The registered proprietor took no action and was unaware of the encroachment. In 2024, the man applies to be registered as proprietor of the occupied land. The registered proprietor objects to the application within the required time. How is the application most likely to be resolved?
A. The man will automatically be registered as proprietor because he has been in adverse possession for more than 10 years.
B. The man’s application will fail unless he can show one of the statutory conditions allowing registration despite objection.
C. The man will succeed because the registered proprietor failed to take action during the 10-year period.
D. The man will succeed unless the registered proprietor proves that the possession was not exclusive.
E. The man cannot succeed because adverse possession is abolished for registered land.
✅ Correct Answer: B The man’s application will fail unless he can show one of the statutory conditions allowing registration despite objection. Feedback: Under Schedule 6 of the Land Registration Act 2002, a squatter may apply to be registered after 10 years’ adverse possession of registered land. However, where the registered proprietor objects, the application will be rejected unless the squatter can satisfy one of three statutory conditions, including: it would be unconscionable because of an equity by estoppel to dispossess the squatter; the squatter is entitled for some other reason (e.g. under a contract); or the land is adjacent, the boundary is unclear, and the squatter reasonably believed the land belonged to him. If none of these apply, the application fails, but the squatter may reapply after a further two years if the proprietor does not take steps to evict. Why the other options are wrong:
- A is wrong: 10 years gives a right to apply, not an automatic transfer.
- C is wrong: in registered land, inaction alone is insufficient.
- D is wrong: exclusivity is relevant, but not determinative once objection is raised.
- E is wrong: adverse possession still exists, but in a modified statutory form.
This question tests FLK2: Land Law, specifically the post-2002 regime for adverse possession, an area that consistently causes difficulty for SQE1 candidates due to its departure from the old limitation-based model.
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Dr Ioannis (Yannis) Glinavos
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