Ha ha! Yes, that is a point isn't it!
No, I've always mentioned that it is just a recommendation not a requirement. Despite what it looks like. I don't always do a "mini LPC". I only do it if when I ask what they would like to do, the comment "I dunno, you choose" comes back at me. It is especially rare if I know them well and am aware of their capabilities.
For most members this sort of flight is irrelevant as you see them on a regular basis and know exactly what their strengths and weaknesses are, especially as you've normally had a hand in their training anyway.
It's when people wander in cold and start dictating to you, whilst being evasive about things such as logbooks and licences and currency. That's when the alarm bells start ringing. There's nothing you can put your finger on, but you can usually tell as soon as someone walks through the door what the standards demonstrated will be.
enq, as a student of the law. I'd love to have a case like that drop onto my lap. Especially if you ended up calling the CAA to clarify things. It wouldn't go anything like the way you've mentioned.