Law Society of Ireland PPC2 - Professional Responsibility Exam

Under the Solicitors Accounts Regulations 2023, what is the required frequency for a solicitor to prepare balancing statements (bank reconciliations) comparing the client ledger with client bank accounts?

• AEvery month
• BEvery three months
• CEvery six months
• DAnnually

What is the deadline for a solicitor to submit the annual Reporting Accountant's Report to the Law Society of Ireland after the end of their accounting period under the 2023 Regulations?

• AWithin three months
• BWithin five months
• CWithin six months
• DWithin nine months

How are moneys received by a solicitor acting in their capacity as a personal representative of a deceased person's estate treated under the Solicitors Accounts Regulations 2023?

• AThey are treated as office moneys and can be placed in the firm's office account.
• BThey are treated as controlled trust moneys and must be held in a separate trust account.
• CThey are explicitly included in the definition of 'client moneys' and must be held in a c…
• DThey are excluded from the scope of the regulations entirely.

If a solicitor holds funds in their bank account for a client, but no legal services are being provided to that client, how are these funds classified under the 2023 Regulations?

• AThey are classified as client moneys because they are held by the solicitor for the clien…
• BThey do not constitute 'client moneys' under the regulations as no legal services are ass…
• CThey are classified as office moneys because the firm cannot legally act as a trustee.
• DThey are classified as controlled trust moneys automatically.

What requirement is imposed on solicitors regarding dormant client balances (balances with no transactions) under the Solicitors Accounts Regulations 2023?

• ADormant balances must be transferred to the office account after one year.
• BA listing of client ledger balances outstanding for two years or more must be appended to…
• CAll dormant balances must be paid directly to the Law Society immediately.
• DDormant balances are exempt from reporting requirements if they are under €500.

Under the Solicitors Accounts Regulations 2023, who must be an authorized signatory on any client account maintained by a solicitor's firm?

• AAny solicitor who is a partner or sole practitioner in the firm.
• BAny employee of the firm, including non-solicitor bookkeepers.
• COnly the compliance officer for legal practice.
• DThe reporting accountant appointed by the firm.

Before a solicitor can withdraw client moneys from a client account to satisfy their professional fees, what must they do?

• AObtain verbal consent from the client over the phone.
• BTransfer the money first and then notify the client within 30 days.
• CFurnish the client with a bill of costs or other written notification of the costs incurr…
• DRequest authorization from the Law Society of Ireland.

Following the conclusion of a client's legal matter and the payment of all costs, what is the maximum time limit for returning any remaining surplus client funds to the client under the 2023 Regulations?

• AWithin 14 working days
• BWithin one month
• CWithin six months
• DWithin twelve months

If a deficit is identified in a solicitor's client account, within what timeframe must the solicitor notify the Law Society if they are unable to rectify the deficit?

• AImmediately upon discovery
• BWithin seven days of the deficit coming to their attention
• CWithin 14 days of the deficit coming to their attention
• DAt the end of the annual accounting period

What exception exists to the strict prohibition against passing personal moneys through a client account under the 2023 Regulations?

• APersonal funds may be deposited to hide assets from tax authorities.
• BPersonal funds may be deposited to cover temporary office overheads.
• CProceeds of a loan from a financial institution for a property purchase may be deposited,…
• DThere are absolutely no exceptions under any circumstances.

Once a solicitor has furnished a client with a bill of costs, what is the maximum time limit within which the solicitor must transfer money held in the client account to satisfy those fees?

• AWithin 14 working days
• BWithin one month
• CWithin three months
• DWithin six months

If a solicitor receives a single check that contains both client money and office money (mixed money), what action must they take?

• APay the check into the office account and transfer the client money within 14 working day…
• BPay the check into the client account and transfer the office money out within 14 working…
• CSplit the check physically at the bank counter.
• DReject the check and ask the client to issue separate checks.

What is 'controlled trust money' under the Solicitors Accounts Regulations?

• AMoney held by the solicitor on behalf of a corporate client.
• BMoney held by the solicitor as a sole trustee, or as a co-trustee only with partners or e…
• CMoney held by the solicitor in a joint account with the client.
• DMoney controlled directly by the Law Society of Ireland.

If a client account bank statement shows a debit balance (overdraft) for a specific client ledger, how must this shortfall be rectified?

• AThe solicitor must wait until the next billing cycle to charge the client.
• BThe solicitor must immediately transfer office money or their own personal funds into the…
• CThe solicitor can use surplus funds from another client's ledger to cover the debit balan…
• DThe solicitor must report the client to the gardaí immediately.

Which of the following is considered 'office money' under the Solicitors Accounts Regulations?

• AMoneys received in respect of outlays not yet disbursed.
• BMoneys received from a client for professional fees where the bill of costs has not yet b…
• CMoneys held by the solicitor as a personal representative of a deceased person's estate.
• DMoneys received from a client in payment of a bill of costs that has already been furnish…

If a solicitor places client money in a bank account that earns interest, who is entitled to that interest?

• AThe solicitor is entitled to keep all interest as a fee for managing the account.
• BThe bank is entitled to retain the interest.
• CThe client is entitled to the interest, and the solicitor must account for it to the clie…
• DThe interest must be paid directly to the Law Society of Ireland's compensation fund.

Under the Solicitors Accounts Regulations, if a solicitor cannot locate a client to return unclaimed client moneys after taking all reasonable steps, what must the solicitor do?

• ATransfer the money to the office account and write it off as firm income.
• BHold the money indefinitely in the client account without taking further action.
• CApply to the High Court for directions on how to spend the money.
• DPay the money to the Law Society's Unclaimed Client Money Fund in accordance with the sta…

Which of the following is a primary duty of the Reporting Accountant during their audit of a solicitor's practice accounts?

• ATo prepare the solicitor's annual income tax return.
• BTo verify that the solicitor has won their litigation cases.
• CTo test-check that client ledger transactions match bank records and that fees were prope…
• DTo manage the firm's day-to-day bookkeeping.

What is the consequence if a solicitor fails to submit their Reporting Accountant's Report to the Law Society within the required five-month deadline?

• AThere are no consequences if the solicitor has a good reputation.
• BThe Law Society will automatically pay the solicitor's fees.
• CThe solicitor may face referral to the Solicitors Disciplinary Tribunal, fines, or the su…
• DThe client account will be closed by the bank automatically.

In a partnership structure, who is legally responsible for ensuring compliance with the Solicitors Accounts Regulations?

• AOnly the partner who physically writes the checks.
• BOnly the firm's external bookkeeper.
• CAll partners, principals, and compliance partners jointly, as well as the individual soli…
• DOnly the junior associates who work on the client files.

What is the legal and ethical status of a solicitor's professional undertaking in Ireland?

• AIt is a normal contract and is only enforceable if consideration is given.
• BIt is a personal promise given by a solicitor in their professional capacity that is bind…
• CIt can be withdrawn by the solicitor at any time by giving 7 days' notice to the recipien…
• DIt is only binding if it is formally signed and witnessed by another solicitor.

Under the Solicitors (Professional Practice, Conduct and Discipline - Conveyancing Conflict of Interest) Regulations 2012, what is the general rule regarding acting for both the vendor and the purchaser in a conveyancing transaction?

• AIt is permitted if both clients sign a waiver confirming they consent.
• BIt is permitted if the solicitor uses different staff members for each client.
• CIt is strictly prohibited, with only extremely narrow exceptions such as associated compa…
• DIt is permitted in all residential transactions, but prohibited in commercial ones.

Can a solicitor act for both the borrower and the lender in a residential mortgage transaction in Ireland?

• AYes, it is common practice and generally permitted if a conflict waiver is signed.
• BNo, it is generally prohibited under regulations, with narrow exceptions for specific non…
• CYes, but only if the mortgage is under €500,000.
• DYes, provided the solicitor is on the panel of the lending institution.

Under what circumstance is a solicitor permitted to breach client confidentiality without the client's consent?

• AWhen the solicitor is asked about the client by a local political representative.
• BWhen the solicitor is compelled by a court order or when disclosure is required by law to…
• CWhenever the client fails to pay their bill of costs.
• DWhen the solicitor wants to discuss the case with their spouse.

What is the primary difference between legal advice privilege and litigation privilege in Irish law?

• ALegal advice privilege only applies to written documents, whereas litigation privilege ap…
• BLegal advice privilege applies to confidential communications between solicitor and clien…
• CLegal advice privilege expires when the case ends, while litigation privilege is permanen…
• DLegal advice privilege can be waived by the solicitor, whereas litigation privilege can o…

A solicitor is retained by two clients jointly (e.g., business partners) in a transaction. One client tells the solicitor a fact in confidence that is highly material to the transaction but instructs the solicitor not to tell the other client. What must the solicitor do?

• AKeep the secret to honor the duty of confidentiality to the first client, and continue ac…
• BTell the second client immediately, as the duty of disclosure to joint clients overrides…
• CAdvise the first client that the information must be disclosed, and if they refuse, the s…
• DCharge a double fee to manage the conflict.

When is a solicitor entitled to exercise a 'retaining lien' over a client's files and documents?

• AAt any time the solicitor feels the client is being difficult.
• BWhen the client has failed to pay the solicitor's taxed or agreed bill of costs, allowing…
• COnly when the file relates to criminal defense.
• DNever, as client files belong to the client and must always be delivered on demand.

Under the advertising regulations for Irish solicitors, which of the following is prohibited in a firm's advertisement?

• AStating the areas of law in which the firm practices.
• BIncluding the contact details and opening hours of the firm.
• CMaking statements that compare the firm's quality or success rate to other solicitors, or…
• DPublishing articles on legal topics written by partners.

How can a professional undertaking given by a solicitor be legally enforced in Ireland?

• AOnly by filing a civil breach of contract claim in the District Court.
• BBy applying to the High Court under its summary jurisdiction over solicitors, or by makin…
• CBy requesting the local gardaí to arrest the solicitor.
• DIt cannot be enforced if it was not registered with the Land Registry.

What is a solicitor's ethical duty to the court when presenting legal arguments during litigation?

• ATo present only those legal authorities that support the client's case and hide unfavorab…
• BTo act with absolute honesty, presenting the case fairly, and disclosing all relevant sta…
• CTo agree with whatever the judge says to win favor.
• DTo prioritize the client's instructions over all other duties, including lying if instruc…

If an assistant solicitor or clerk employed by a firm gives a professional undertaking on the firm's letterhead, who is responsible for performing it?

• AOnly the employee who signed it, and the firm has no liability.
• BThe firm's principals or partners are responsible for ensuring it is performed, as the em…
• CNobody, because only partners can legally give undertakings.
• DThe Law Society of Ireland is responsible for performing it.

If a criminal defense client confesses their guilt to their solicitor, what is the solicitor's ethical duty regarding the conduct of the trial?

• AThe solicitor must report the confession to the prosecution immediately.
• BThe solicitor can continue to act but cannot set up an affirmative defense (such as an al…
• CThe solicitor must withdraw immediately and cannot represent the client under any circums…
• DThe solicitor must advise the client to lie under oath to protect themselves.

In the event of an irreconcilable conflict between a solicitor's duty to their client and their duty to the court, which duty takes precedence?

• AThe duty to the client, as the client pays the fees.
• BThe duty to the court, as the solicitor is an officer of the court.
• CThe duty to the firm's partners.
• DThe two duties are balanced equally, and the solicitor must choose by flipping a coin.

Is a solicitor permitted to pay a referral fee to a non-lawyer (e.g., an estate agent) for introducing a client in Ireland?

• AYes, if the client is notified and consents in writing.
• BNo, solicitors are strictly prohibited from paying referral fees or sharing fees with non…
• CYes, provided the fee is less than €250.
• DYes, but only in commercial transactions.

Under what circumstances can a solicitor withdraw from representing a client in an ongoing matter?

• AOnly for good cause (e.g., breakdown in trust, non-payment of fees, or conflict of intere…
• BAt any time, without providing any reason or notice.
• COnly with the written consent of the Law Society of Ireland.
• DOnly if the client agrees to release the solicitor from the retainer.

Which body is responsible for regulating complaints against solicitors in Ireland, including complaints about misconduct, inadequate services, and excessive fees?

• AThe Law Society of Ireland only
• BThe Legal Services Regulatory Authority (LSRA)
• CThe High Court directly in all instances
• DThe Garda Síochána Ombudsman Commission (GSOC)

What is the requirement for solicitors in private practice in Ireland regarding Professional Indemnity Insurance (PII)?

• AIt is optional, but recommended for large firms.
• BThey must maintain a minimum level of PII through an authorized insurer in accordance wit…
• CThey are insured automatically by the state.
• DThey only need PII if they handle conveyancing.

What is a solicitor's ethical obligation when preparing witnesses to give evidence in court?

• AThey can draft the witness's statement and rehearse the exact questions and answers to en…
• BThey must not coach the witness or suggest what evidence they should give; the witness's…
• CThey should encourage the witness to exaggerate details to make the case stronger.
• DThey must not speak to witnesses at all prior to the trial.

When can a solicitor act against a former client in a new legal matter?

• ANever; a solicitor can never act against any former client.
• BAt any time, as the duty of loyalty ends when the retainer is terminated.
• COnly if there is no risk of a breach of client confidentiality (i.e., the solicitor holds…
• DOnly if the former client pays the solicitor's fee for the new matter.

What is a solicitor's ethical duty when dealing with an unrepresented third party during a transaction or litigation?

• ATo take advantage of their lack of legal knowledge to get the best deal for the client.
• BTo advise the unrepresented party on their legal rights and draft documents for them.
• CTo behave with honesty and fairness, advise the unrepresented party in writing to obtain…
• DTo refuse to communicate with them at all.

When must a solicitor provide a client with a Section 150 costs disclosure notice under the Legal Services Regulation Act 2015?

• AOnly when the legal matter has been fully concluded.
• BUpon receiving instructions from the client, or as soon as is reasonably practicable ther…
• COnly if the client formally requests it in writing.
• DWithin 30 days of sending the final bill of costs.

If the exact total of legal costs cannot be determined at the beginning of a matter, what must a solicitor disclose in their Section 150 notice?

• ANothing, as they are exempt from disclosure until the final cost is known.
• BThey must disclose a binding maximum cap that cannot be exceeded under any circumstances.
• CThey must disclose the basis on which the costs are to be calculated and provide a realis…
• DThey must provide a random figure and correct it later.

Which of the following must be separately itemized in a Section 150 costs disclosure notice?

• AOnly the solicitor's hourly rate.
• BThe solicitor's professional fees, outlays (e.g., court fees, search fees), VAT, and any…
• COnly the total estimated sum without any breakdown.
• DThe firm's internal office overheads and staff salaries.

Under Section 149 of the Legal Services Regulation Act 2015, what is the rule regarding charging fees based on a percentage of damages recovered?

• AIt is permitted in all personal injury cases.
• BIt is permitted provided the percentage is less than 10%.
• CIt is strictly prohibited; a legal practitioner must not charge fees that are calculated…
• DIt is permitted only if the client signs a specific 'percentage damages' agreement.

Can a solicitor charge a client for time spent investigating or responding to a complaint made by the client about the solicitor's service?

• AYes, if the complaint is found to be groundless.
• BYes, at the solicitor's standard hourly rate.
• CNo, a solicitor is strictly prohibited from charging a client for time spent dealing with…
• DYes, but only if they obtain permission from the LSRA first.

If the LSRA investigates a complaint and finds that a solicitor provided 'inadequate services' to a client, what sanctions or remedies can the LSRA direct?

• AThey can order the solicitor to be imprisoned.
• BThey can direct the solicitor to secure independent legal advice for themselves.
• CThey can direct the solicitor to refund or waive fees, rectify the error at their own exp…
• DThey can only issue a verbal warning and have no power to order financial remedies.

What is the procedure under the LSRA 2015 for resolving a complaint that a solicitor's bill of costs is 'excessive'?

• AThe client must sue the solicitor in the High Court immediately.
• BThe LSRA will first attempt to facilitate an informal resolution; if that fails, the disp…
• CThe bill is automatically reduced by 50% by law.
• DThe client must pay the bill in full and has no right of appeal.

Which office replaced the Office of the Taxing Master under the Legal Services Regulation Act 2015?

• AThe Legal Costs Adjudicator
• BThe Office of the Costs Ombudsman
• CThe Taxing Master Emeritus
• DThe Legal Services Disciplinary Tribunal