Regulation of the legal services market — SQE1 Legal services question
A worked single-best-answer question on regulation of the legal services market, with why each wrong option is wrong — the way SQE1 traps candidates.
Harriet runs Willcraft, a sole trader business offering legal document services to the public. Neither Harriet nor anyone she employs is a solicitor or any other kind of authorised or exempt person under the Legal Services Act 2007. For a fee, Willcraft drafts wills, gives general guidance on how inheritance tax works, and prepares the papers on which clients' families apply for grants of probate. Harriet has never described herself as a solicitor or lawyer in any of her advertising.
Which of the following best describes whether Harriet is carrying on a reserved legal activity?
- AYes, because drafting wills for a fee is a reserved instrument activity, so Harriet commits an offence by doing so.
- BYes, because giving advice about inheritance tax for a fee is a reserved legal activity that only authorised persons may carry on.
- CYes, because preparing the papers on which a grant of probate is founded, for a fee, is a probate activity and so a reserved legal activity that Harriet is not entitled to carry on.
- DNo, because the offence of carrying on a reserved legal activity is committed only by a person who holds themselves out as a solicitor.
- ENo, because preparing probate papers is a reserved legal activity only where the estate is large enough to attract inheritance tax.
Show answer and reasoning
Rule: Preparing papers to found or oppose a grant of probate or letters of administration for a fee is a reserved probate activity, whereas will-writing and general legal advice are unreserved.
- A Wills and other testamentary instruments are expressly excluded from reserved instrument activities, so will-writing is unreserved. (wrong rule)
- B Giving legal advice, including tax advice, is not a reserved legal activity. (wrong rule)
- D The section 14 offence turns on carrying on the reserved activity without entitlement; holding out is a separate matter. (wrong rule)
- E The probate activity is reserved regardless of the size of the estate or whether inheritance tax is payable. (wrong rule)
Source: Legal Services Act 2007, ss 12 and 14, Sch 2 paras 5-6