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100+ Free FE-1 Company Law Practice Questions

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Key Facts: FE-1 Company Law Exam

Companies Act 2014

Core Governing Statute

Law Society of Ireland FE-1 syllabus

3 hours

Single Written Paper (3.5 hrs online)

Law Society of Ireland

Answer 4 of 5

Essay/Problem Questions

Law Society of Ireland

50%

Pass Mark Per Subject

Law Society of Ireland

7 years

To Pass All 8 FE-1 Subjects

Law Society of Ireland

100+

Practice Questions Here

OpenExamPrep question bank

FE-1 Company Law is one of eight subjects in the Law Society of Ireland's FE-1, the entrance examination for solicitor training in Ireland. The paper is a single three-hour essay/problem exam (3.5 hours online) of five questions, of which candidates answer four, with a 50% pass mark. It is examined entirely on Irish law, built around the Companies Act 2014. Core topics include company types and formation through the CRO, the company constitution, separate legal personality and lifting the corporate veil, directors' duties under s.228, shares and capital maintenance, and the s.212 shareholder oppression remedy. The paper also covers debentures and charges, and the insolvency procedures of examinership, receivership, and winding-up. The FE-1 is sat twice yearly (Spring and Autumn), subjects can be taken individually, and all eight must be passed within seven years.

Sample FE-1 Company Law Practice Questions

Try these sample questions to test your FE-1 Company Law exam readiness. Each question includes a detailed explanation. Start the interactive quiz above for the full 100+ question experience with AI tutoring.

1Under the Companies Act 2014, what is the default company type that a person incorporates if they simply form a private limited company without electing any other form?
A.A designated activity company (DAC)
B.A private company limited by shares (LTD)
C.A public limited company (PLC)
D.A company limited by guarantee (CLG)
Explanation: The Companies Act 2014 created the LTD (private company limited by shares) under Part 2 as the default model private company. It has a one-document constitution, no objects clause and unlimited corporate capacity. The DAC, PLC, CLG and unlimited companies are dealt with in later Parts as alternative forms.
2A key distinguishing feature of the LTD company introduced by the Companies Act 2014 is that:
A.It must have a two-part constitution comprising a memorandum and articles of association
B.It has a single-document constitution and no objects clause, so the ultra vires doctrine does not restrict its capacity
C.It must have at least two directors at all times
D.It may offer its shares to the public on a regulated market
Explanation: Under the Companies Act 2014, the LTD has a single-document constitution and no objects clause, giving it full and unlimited corporate capacity so the doctrine of ultra vires does not apply to it. This is the central conceptual change from the pre-2014 position.
3Which of the following is a mandatory requirement for a designated activity company (DAC) under the Companies Act 2014 that distinguishes it from an LTD?
A.It may have only one member
B.It enjoys unlimited corporate capacity
C.It is prohibited from having a company secretary
D.It must have an objects clause in its constitution
Explanation: A DAC retains a two-part constitution containing an objects clause, and its capacity is limited to those objects. This contrasts with the LTD, which has no objects clause and unlimited capacity. DACs must also have at least two directors.
4A charity intends to incorporate a body that will have no share capital and whose members' liability is limited to an amount they undertake to contribute on a winding up. Which company form is most appropriate?
A.A company limited by guarantee not having a share capital (CLG)
B.A private company limited by shares (LTD)
C.An unlimited company (ULC)
D.A designated activity company limited by shares
Explanation: A company limited by guarantee not having a share capital (CLG), governed by Part 18 of the Companies Act 2014, has no shareholders; members guarantee to contribute a fixed amount on winding up. It is the standard vehicle for charities, clubs and management companies.
5What is the minimum number of directors an LTD (private company limited by shares) must have under the Companies Act 2014?
A.Two
B.Three
C.One
D.Seven
Explanation: Section 128 of the Companies Act 2014 permits an LTD to have a single director, a notable simplification from prior law. However, a sole director cannot also be the company secretary, so a separate secretary is still required.
6Which State office is responsible for the incorporation and registration of companies in Ireland?
A.The Office of the Director of Corporate Enforcement
B.The Revenue Commissioners
C.The Companies Registration Office (CRO)
D.The Irish Auditing and Accounting Supervisory Authority
Explanation: The Companies Registration Office (CRO) is the statutory body that incorporates companies, registers post-incorporation documents and maintains the public register under the Companies Act 2014. A certificate of incorporation is issued by the Registrar of Companies.
7Under the Companies Act 2014, when does a company come into existence as a body corporate?
A.On the date stated in the certificate of incorporation issued by the Registrar
B.When the promoters sign the constitution
C.When the company first commences trading
D.When the company opens its first bank account
Explanation: Section 21 of the Companies Act 2014 provides that on registration the Registrar issues a certificate of incorporation, and from the date of incorporation specified in it the company is a body corporate. The certificate is conclusive evidence of compliance with registration requirements.
8The leading authority establishing that a company is a separate legal person distinct from its members, even where one person effectively owns and controls it, is:
A.Foss v Harbottle
B.Re Frederick Inns Ltd
C.Salomon v A Salomon & Co Ltd
D.Macaura v Northern Assurance Co Ltd
Explanation: Salomon v A Salomon & Co Ltd [1897] AC 22 (HL) is the foundational authority for separate legal personality: once validly incorporated, the company is a distinct legal entity, so Mr Salomon was not personally liable for its debts. This principle is reflected in section 11 of the Companies Act 2014.
9In Macaura v Northern Assurance Co Ltd, the House of Lords held that a sole shareholder could not insure company-owned timber in his own name. What principle does this illustrate?
A.A shareholder has no insurable interest in company property because the company owns it as a separate legal person
B.Companies cannot hold property
C.Insurance contracts with companies are void
D.A shareholder is automatically liable for company debts
Explanation: Macaura illustrates the consequence of separate legal personality: because the company, not the shareholder, owned the timber, the shareholder had no insurable interest in it. This is a classic application of the Salomon principle to property and insurable interest.
10Which of the following is the clearest statutory example of the corporate veil being lifted by the Companies Act 2014 to impose personal liability on company officers?
A.The requirement to file an annual return
B.The obligation to hold an annual general meeting
C.The rule in Foss v Harbottle
D.Liability for fraudulent or reckless trading under sections 610 and 722
Explanation: Sections 610 (fraudulent/reckless trading civil liability) and 722 (fraudulent trading offence) allow the court to make officers personally liable for company debts, a statutory lifting of the veil. They override the Salomon principle where misconduct is proved.

About the FE-1 Company Law Exam

FE-1 Company Law is one of eight subjects in the Law Society of Ireland's Final Examination - First Part (FE-1), the entrance examination that must be passed to begin solicitor training in Ireland. Each subject is examined by a single three-hour paper (3.5 hours for online sittings) of five essay and problem questions, of which candidates answer four, and a mark of 50% is required to pass. The Company Law paper is grounded in the Companies Act 2014, the consolidated code governing Irish companies, and tests company formation and registration with the CRO, separate legal personality and lifting the veil, corporate governance and the codified directors' duties, shares and capital maintenance, the s.212 oppression remedy, and corporate insolvency procedures (examinership, receivership, and winding-up). All law examined is Irish. Candidates may sit the eight FE-1 subjects individually and have seven years from their first sitting to pass all of them.

Assessment

Question count not published by the exam provider

Time Limit

3 hours (3.5 hours online)

Passing Score

50% per subject

Exam Fee

EUR 128 per subject (2026; recheck EUR 154) (Law Society of Ireland)

FE-1 Company Law Exam Content Outline

18%

Company Types & Formation

Types of company under the Companies Act 2014 (LTD, DAC, PLC, CLG, ULC), incorporation and registration with the Companies Registration Office (CRO), the constitution and its effect, registered office and naming rules, and re-registration between company types

15%

Separate Legal Personality & Lifting the Veil

The Salomon v Salomon principle, limited liability, and the grounds on which Irish courts will lift or pierce the corporate veil - fraud or sham, agency, single economic entity, group structures, and express statutory exceptions

22%

Corporate Governance & Directors' Duties

Appointment, retirement and removal of directors, the powers and proceedings of the board, the eight fiduciary duties codified in s.228 of the Companies Act 2014, restrictions on loans to directors, and disclosure of interests in contracts

18%

Shares & Capital Maintenance

Issue, transfer and classes of shares, variation of class rights, the capital maintenance doctrine, the prohibition on financial assistance and unlawful distributions, the Summary Approval Procedure, and the rules on a company acquiring its own shares

15%

Members' Remedies

Members' meetings and voting, the rule in Foss v Harbottle and the statutory derivative action, and the oppression remedy under s.212 of the Companies Act 2014 for conduct oppressive to, or in disregard of, the interests of members

12%

Charges & Corporate Insolvency

Debentures, fixed and floating charges and crystallisation, registration of charges with the CRO and priorities, examinership and the protection of the court, receivership, and the procedures and ranking of claims in corporate winding-up

How to Pass the FE-1 Company Law Exam

What You Need to Know

  • Passing score: 50% per subject
  • Assessment: Question count not published by the exam provider
  • Time limit: 3 hours (3.5 hours online)
  • Exam fee: EUR 128 per subject (2026; recheck EUR 154)

Keys to Passing

  • Work through all 100 available questions
  • Review every answer and explanation
  • Track weak areas and revisit them
  • Use our AI tutor for tough concepts

FE-1 Company Law Study Tips from Top Performers

1Anchor your study in the Companies Act 2014 - know the section numbers for the eight codified directors' duties (s.228) and the oppression remedy (s.212), because examiners reward accurate statutory references
2Learn the leading authorities on lifting the corporate veil and contrast Salomon's strict separate-personality rule with the fraud, agency, and single-economic-entity exceptions
3Map the capital maintenance topics together - financial assistance, distributions, reduction of capital, and own-share acquisition - and learn how the Summary Approval Procedure validates otherwise prohibited transactions
4Distinguish the three corporate rescue/insolvency routes - examinership, receivership, and winding-up - by who initiates them, their purpose, and the order of priority of creditors
5Practice full essay and problem answers under three-hour timed conditions, answering four of five questions, and use Law Society past papers to learn the examiners' recurring themes
6Use a structured IRAC approach for problem questions - identify the issue, state the rule with its statutory or case authority, apply it to the facts, and reach a reasoned conclusion

Frequently Asked Questions

What is the FE-1 Company Law exam?

FE-1 Company Law is one of eight subjects in the Law Society of Ireland's Final Examination - First Part (FE-1), the entrance examination required to begin solicitor training in Ireland. The Company Law paper tests Irish company law, principally the Companies Act 2014, including formation, directors' duties, capital, members' remedies, and corporate insolvency.

How is the FE-1 Company Law paper structured?

It is a single three-hour written paper (3.5 hours for online sittings) containing five essay and problem questions, of which candidates must answer four. There are no multiple-choice questions; answers are full written essays and problem analyses. A mark of 50% is required to pass the subject.

What is the core statute for FE-1 Company Law?

The central statute is the Companies Act 2014, which consolidated and replaced the previous Companies Acts. Candidates should be familiar with its scheme for company types, the constitution, directors' duties under s.228, capital maintenance, the s.212 oppression remedy, and the insolvency procedures of examinership, receivership, and winding-up.

How much does the FE-1 cost and how often is it held?

The FE-1 is held twice a year, typically in Spring (around March) and Autumn (around October). The examination fee is approximately EUR 128 per subject (candidates should recheck the current fee, which may be around EUR 154). Each of the eight subjects is paid for and sat individually.

Do I need a law degree to sit the FE-1?

No. The FE-1 is open to graduates and others, and no specific degree is required to sit it. A law degree is common but not mandatory, so candidates from non-law backgrounds may register and prepare for the eight subjects, including Company Law.

How long do I have to pass all eight FE-1 subjects?

Candidates have seven years from their first sitting to pass all eight FE-1 subjects. The subjects may be sat individually across multiple sittings, and a pass of 50% in each subject is required. Passes achieved within the window remain valid for the seven-year period.