Issue Spotting and Analysis Practice Questions

Q: Using only the supplied client file and legal resources, prepare a confidential negotiation plan for the supervising attorney concerning Jordan Lee's bicycle-collision claim. The plan must assess liability and recoverable loss, identify information needed before mediation, propose an opening demand and settlement range supported by the record, and specify matters requiring Lee's authorization.

An effective plan should present Patel's left turn and Brooks's account as strong liability evidence while candidly accounting for Lee's lookout problem. The documented economic loss totals $34,000, but future treatment requires better support and any recovery may be reduced for comparative fault. The plan should use these uncertainties to develop an opening demand and provisional internal range rather than asserting a single inevitable value. It should prioritize video preservation, witness development, and medical documentation while ensuring that Lee—not counsel—sets the ultimate settlement authority after receiving practical advice.

Question 1

Using only the supplied client file and legal resources, prepare a confidential negotiation plan for the supervising attorney concerning Jordan Lee's bicycle-collision claim. The plan must assess liability and recoverable loss, identify information needed before mediation, propose an opening demand and settlement range supported by the record, and specify matters requiring Lee's authorization.

Question 2

Question 3

Question 4

A lawyer represents a homeowner in a construction dispute. The homeowner authorized the lawyer to negotiate but expressly reserved the decision whether to settle. The contractor offers $60,000, conditioned on a release and a response by Friday. The lawyer estimates a 60% chance of obtaining an $110,000 trial judgment, but collection may be difficult, expert fees will likely exceed $20,000, and trial will delay resolution by a year. The homeowner previously emphasized both financial recovery and a desire to avoid prolonged stress. The lawyer believes the offer is reasonable but, despite repeated attempts, has been unable to reach the homeowner before the Friday deadline. What is the most appropriate next step?

Accepted Answer

Contact opposing counsel to request a short extension of the deadline while continuing efforts to reach the client, and do not accept or reject the offer without the client's authorization.

Answer

Accept the offer because the lawyer's negotiating authority includes authority to settle when the client cannot be reached.

Answer

Let the deadline pass and take no action because the lawyer's authority does not extend to communicating with opposing counsel about deadlines.

Answer

Reject the offer on the client's behalf to preserve the higher trial value, since the client emphasized financial recovery.

Question 5

A lawyer represents a software company in a contract dispute pending in federal court under diversity jurisdiction. An older decision from the state's highest court supports the company's interpretation of a limitation-of-liability clause. A federal circuit court, applying the same state's law in an unrelated case, later reached the opposite conclusion on a similar clause. The lawyer's database search also reveals a recent state intermediate appellate decision that reaffirms the state supreme court's rule. The client wants an assessment before sending a demand letter and has asked the lawyer to avoid unnecessary research expense. What is the most appropriate next research step?

Accepted Answer

Recognize that the state supreme court's decision remains controlling under the Erie doctrine, confirm that no subsequent state authority has overruled it, and disregard the federal circuit's non-binding interpretation.

Answer

Rely on the federal circuit's opinion because it is the most recent case addressing the issue, regardless of which court decided it.

Answer

Follow the federal circuit's opinion because federal courts have final authority over questions arising in diversity cases.

Answer

Certify the question to the state's highest court before advising the client, regardless of the cost this would add to the case.

Question 6

A lawyer represents an individual employee in an employment discrimination claim against her former employer. The client wants confidentiality about the dispute and a neutral job reference, and she authorized the lawyer to accept a settlement of up to $75,000, provided the lawyer first confirms that the agreement contains only a standard release and a neutral-reference provision. Opposing counsel offers to settle for $65,000 with a release, a neutral-reference clause, and a five-year covenant not to work anywhere in the client's industry nationwide. The offer expires in two days. What is the most appropriate next step?

Accepted Answer

Consult the client because the offer includes a significant restriction not covered by the prior authority.

Answer

Accept the offer because its payment amount is within the client's prior settlement authority.

Answer

Reject the offer because preserving a neutral reference necessarily precludes a non-compete provision.

Answer

Ask opposing counsel to remove the restriction before informing the client of the offer.

Question 7

An associate represents a defendant in federal court in a diversity action governed by State X law. The associate finds a 2018 State X Supreme Court decision supporting the defendant's interpretation of a consumer-protection statute. A citator displays a red warning symbol. The citing references include a 2023 State X intermediate appellate decision stating that a 2022 statutory amendment changed the relevant language and undermined the 2018 decision's reasoning. No cited State X Supreme Court decision addresses the amendment. The associate must advise the supervising attorney whether the 2018 decision still supports a motion to dismiss. What is the most appropriate next research step?

Accepted Answer

Review the amended statute, examine the citator history, and determine whether later controlling courts have limited the 2018 decision.

Answer

Rely on the 2018 decision because a state supreme court decision remains controlling until that court expressly overrules it.

Answer

Follow the recent intermediate appellate decision because the most recently issued opinion necessarily supplies the current rule.

Answer

Search secondary sources for commentary and rely on the source that most clearly reconciles the two judicial decisions.

Issue Spotting and Analysis — MCQs

Issue Spotting and Analysis — MCQs

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