Step 1: Write the formula for pressure.
Pressure ($P$) is defined as the normal force ($F$) acting per unit area ($A$).
\[
P = \frac{F}{A}.
\]
For a square plate with side length $L$, the area is $A = L^2$.
So, the formula for pressure is:
\[
P = \frac{F}{L^2}.
\]
Step 2: Apply the formula for propagation of errors.
For a quantity $Z = \frac{X^a}{Y^b}$, the maximum fractional error is given by the sum of the fractional errors of its components, weighted by the magnitude of their exponents:
\[
\frac{\Delta Z}{Z} = a \frac{\Delta X}{X} + b \frac{\Delta Y}{Y}.
\]
In our case, $P = F^1 L^{-2}$. The maximum fractional error in pressure is:
\[
\frac{\Delta P}{P} = (1)\frac{\Delta F}{F} + (2)\frac{\Delta L}{L}.
\]
Step 3: Convert to percentage errors.
Multiplying the entire equation by 100 gives the relationship for percentage errors:
\[
\left(\frac{\Delta P}{P} \times 100%\right) = \left(\frac{\Delta F}{F} \times 100%\right) + 2 \left(\frac{\Delta L}{L} \times 100%\right).
\]
\[
%\text{Error in } P = %\text{Error in } F + 2 \times (%\text{Error in } L).
\]
Step 4: Substitute the given values.
We are given that the percentage error in force is 3% and the percentage error in the side length is 1%.
\[
%\text{Error in } P = 3% + 2 \times (1%).
\]
\[
%\text{Error in } P = 3% + 2% = 5%.
\]
\[
\boxed{%\text{Error in } P = 5%}.
\]