This is another common cause for people failing their test. Problems can arise, for example, when meeting oncoming traffic where there are parked cars, or not accepting a free gap when someone waves you forward. There are a large number of possible issues here, and the type of fault can cover the whole range. Responding appropriately to particular situations is one of the most important skills you need to acquire and develop during your training. How you deal with and respond to other road users will have a very big impact on how safe you are on the road. Even if other people drive badly or make mistakes you can still be failed if you react in an inflexible manner. Remember - there is no such thing as "right of way".