Legal Practice Course (LPC) Vocational Electives (Stage 2) Flashcards

24 sample cards from the Vocational Electives (Stage 2) deck

Sampled from the end of the deck, so these are different cards from the ones shown on the syllabus page.

1. How does an upwards-only open market rent review clause typically operate in a commercial lease?

   At set review dates the rent is reassessed to the open market rent of a hypothetical letting on assumptions and disregards set out in the lease; 'upwards-only' means the rent cannot fall below the passing rent even if market rents have dropped. Disputes are usually referred to an independent expert or arbitrator.

2. In property development, what is the difference between a JCT 'Design and Build' contract and a 'traditional' (with quantities) procurement route?

   Under traditional procurement the employer's consultants design the works and the contractor builds to that design, so design risk stays with the employer. Under Design and Build the contractor takes responsibility for both designing and constructing the works (often developing the employer's requirements), giving the employer a single point of responsibility and greater cost certainty but less design control.

3. What are 'collateral warranties' and 'third party rights' in construction, and why are they used?

   They give parties who are not in the building contract (e.g. funders, purchasers, tenants) a direct contractual claim against the contractor or consultants for defects. A collateral warranty is a separate contract; third party rights are conferred under the Contracts (Rights of Third Parties) Act 1999. They overcome privity so beneficiaries can recover economic loss not otherwise available in tort.

4. Under the Housing Grants, Construction and Regeneration Act 1996, what are the key payment and dispute provisions for construction contracts?

   Construction contracts must provide an adequate mechanism for determining what and when payments are due, payment notices/pay-less notices, and prohibit conditional ('pay when paid') clauses except on third-party insolvency. Parties have a statutory right to refer disputes to adjudication at any time, with the adjudicator deciding within 28 days; the decision is binding until finally determined.

5. In transactions, distinguish 'planning permission' from 'building regulations approval'.

   Planning permission (under the Town and Country Planning Act 1990) controls the use and development of land—whether a development may proceed in principle. Building regulations approval concerns the technical standards of construction (structure, fire, energy, accessibility). A scheme generally needs both; they are separate regimes with separate enforcement.

6. What is a section 106 agreement and how does it differ from a Community Infrastructure Levy (CIL)?

   A s.106 (Town and Country Planning Act 1990) planning obligation is a negotiated agreement requiring the developer to provide or fund site-specific mitigation (e.g. affordable housing, roads). CIL is a non-negotiable, formula-based charge per square metre levied by the local authority to fund general infrastructure. Both extract development value but s.106 is bespoke and CIL is tariff-based.

7. In environmental due diligence, who is liable for contaminated land under Part IIA of the Environmental Protection Act 1990?

   Primary liability falls on 'Class A' persons who caused or knowingly permitted the contamination. If no Class A person can be found, liability passes to 'Class B' persons—the current owner or occupier. The regulator may serve a remediation notice; in transactions buyers seek indemnities and environmental searches to manage this risk.

8. In advanced civil litigation, state the standard disclosure obligation under CPR Part 31 / the Disclosure Pilot, and what 'disclosure' means.

   Disclosure means stating that a document exists or has existed. Standard disclosure requires a party to disclose documents on which it relies, those that adversely affect its own or another party's case, or that support another party's case, plus those required by a practice direction—subject to a reasonable search. The duty extends to documents no longer in the party's control.

9. What is the difference between litigation privilege and legal advice privilege?

   Legal advice privilege protects confidential communications between a lawyer and client made for the purpose of giving or receiving legal advice (no litigation needed). Litigation privilege protects confidential communications between lawyer/client and third parties where the dominant purpose is actual or contemplated litigation. Both can be lost by waiver.

10. Outline the main forms of alternative dispute resolution (ADR) and how mediation differs from arbitration.

    ADR includes negotiation, mediation, expert determination, early neutral evaluation and arbitration. Mediation is a facilitative, without-prejudice process where a neutral helps parties reach a voluntary settlement—non-binding unless agreement is reached and recorded. Arbitration is an adjudicative process where the arbitrator imposes a binding award (the 'award'), enforceable like a judgment and limited in appeal under the Arbitration Act 1996.

11. What are Part 36 offers in litigation and their key costs consequence if a claimant beats its own offer at trial?

    A Part 36 offer is a formal settlement offer with prescribed costs consequences. If a claimant obtains a judgment at least as advantageous as its own Part 36 offer, the court will normally order: interest up to 10% above base on the sum, indemnity-basis costs from expiry of the relevant period, enhanced interest on those costs, and an additional amount (10% of damages up to a cap).

12. In employment law, distinguish 'wrongful dismissal' from 'unfair dismissal'.

    Wrongful dismissal is a contractual claim for dismissal in breach of contract (typically without proper notice); no minimum service is required and it can be brought in court or tribunal. Unfair dismissal is a statutory claim under the Employment Rights Act 1996 requiring (generally) 2 years' continuous service, where the employer must show a fair reason and that it acted reasonably.

13. State the five potentially fair reasons for dismissal under the Employment Rights Act 1996.

    (1) Capability or qualifications; (2) conduct; (3) redundancy; (4) statutory illegality/contravention (continued employment would breach a statutory duty); and (5) 'some other substantial reason' (SOSR). The employer must also act reasonably in treating the reason as sufficient and follow a fair procedure.

14. Under the Equality Act 2010, list the nine protected characteristics and distinguish direct from indirect discrimination.

    Protected characteristics: age, disability, gender reassignment, marriage and civil partnership, pregnancy and maternity, race, religion or belief, sex, and sexual orientation. Direct discrimination is less favourable treatment because of a protected characteristic. Indirect discrimination is a provision, criterion or practice that puts a protected group at a particular disadvantage and is not a proportionate means of achieving a legitimate aim.

15. What is a 'redundancy' under the Employment Rights Act 1996 and the threshold for collective consultation?

    Redundancy arises where the dismissal is wholly or mainly due to business closure, workplace closure, or a reduced requirement for employees to do work of a particular kind. Collective consultation with appropriate representatives is required where 20 or more redundancies are proposed at one establishment within 90 days: at least 30 days before the first dismissal (45 days if 100 or more).

16. In personal injury, state the limitation period for a negligence claim causing personal injury and the key exception.

    The primary limitation period is 3 years from the date the cause of action accrued or, if later, the claimant's date of knowledge (Limitation Act 1980 s.11). For children, time runs from their 18th birthday; for those lacking capacity, time does not run. The court has a discretion under s.33 to disapply the limit where equitable.

17. How are damages categorised in a personal injury claim, and what is the difference between general and special damages?

    General damages compensate non-pecuniary loss—pain, suffering and loss of amenity (PSLA, assessed by reference to the Judicial College Guidelines)—and future losses. Special damages compensate quantifiable past pecuniary losses up to trial (e.g. lost earnings, care costs, medical expenses). The aim is restitutio in integrum—to put the claimant in the position as if the tort had not occurred.

18. In clinical negligence, state the test for breach of duty (Bolam) as qualified by Bolitho.

    Under Bolam, a doctor is not negligent if acting in accordance with a practice accepted as proper by a responsible body of medical opinion skilled in that field. Bolitho qualifies this: the court must be satisfied the body of opinion has a logical basis and withstands logical analysis; an indefensible practice can be rejected. Consent cases instead apply Montgomery (material risk disclosure).

19. What is the Montgomery test for consent to medical treatment?

    A doctor must take reasonable care to ensure the patient is aware of any material risks involved in a recommended treatment and of reasonable alternatives. A risk is 'material' if a reasonable person in the patient's position would attach significance to it, or the doctor should reasonably be aware the particular patient would. It replaced the Bolam test for risk disclosure/informed consent.

20. In immigration law, distinguish 'leave to enter/remain', 'indefinite leave to remain (ILR)' and 'British citizenship'.

    Leave to enter or remain is time-limited permission to be in the UK subject to conditions. ILR (settlement) is permission to stay without time limit and free of work/study conditions, but can lapse on long absence and does not confer a passport. British citizenship is the full legal status, conferring the right of abode and a passport, usually acquired by naturalisation after holding ILR.

21. What are the two limbs of a refugee claim under the Refugee Convention 1951, as applied in UK asylum law?

    The applicant must show (1) a well-founded fear of persecution for reasons of race, religion, nationality, membership of a particular social group or political opinion (a Convention reason), and (2) that they are outside their country of nationality and unable or, owing to that fear, unwilling to avail themselves of its protection. There must also be no internal relocation alternative and no exclusion clause.

22. How does the Human Rights Act 1998 operate in immigration cases, and which Convention article is most often engaged?

    The HRA 1998 incorporates ECHR rights into UK law; public authorities (including the Home Office) must act compatibly with them, and removal can be resisted if it breaches a Convention right. Article 8 (right to private and family life) is most commonly engaged, requiring a proportionality balance between the individual's family/private life and the public interest in immigration control; Article 3 (no torture/inhuman treatment) provides an absolute bar to removal.

23. In M&A, what is the difference between 'completion accounts' and a 'locked box' pricing mechanism?

    Under completion accounts, the price is adjusted after completion by reference to accounts drawn up at the completion date (e.g. for actual cash, debt and working capital), so the final price is determined post-closing. Under a locked box, the price is fixed by reference to a historic 'locked box' balance sheet date, with the buyer protected against 'leakage' (value extraction) between that date and completion; there is no post-completion adjustment.

24. In equity capital markets, what is the difference between an 'IPO by way of a placing' and an 'offer for sale', and what document is required for a public offer?

    In a placing, shares are offered to selected institutional investors only; in an offer for sale, shares are offered to the public generally. A public offer of transferable securities (or admission to a regulated market) generally requires an FCA-approved prospectus under the UK Prospectus Regulation, containing the prescribed information for investors, unless an exemption applies.

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Vocational Electives (Stage 2) flashcards FAQ