Understanding “Without prejudice offers” in legal proceedings in the UK
Without prejudice offers in legal proceedings in the UK
The case of Rush and Tomkins v GLC (1989) defined a without prejudice offer as being an offer to settle by one party to another, which despite its nature and relation to the case cannot be used as an admissible evidence in the case. The concept behind the without prejudice offer in legal proceedings is to encourage parties to reach settlements and engage with one another for amicable out of court settlements.
The word “without prejudice offer” is used in situations where the claimant makes an offer to the respondent to settle the claim being contested without accepting their guilt. In most legal systems around the world, making an offer to settle the case is considered an admission of guilt and a weakness on the side of the party that initiates the engagement in the first place.
In the UK however without prejudice offer refers to a waiver of liability or an admission of guilt that could hamper the outcome of any legal proceedings if the contents of the negotiation were for example used to weaken the position of the one of the party.
A Few Giveaways
- According to the Lords the tag of without prejudice offer cannot be used indiscriminately and there needs to be genuine dispute for negotiation for it to apply.
- Correspondence as such need to be marked accordingly as a “without prejudice” for example to steer clear of any confusion as to it application.
- The without prejudice offer applies to both parties in the settlement negotiations if one party has used it.
- Large organisations that are concerned about their public image may use the without prejudice offer in legal proceedings to avoid bad publicity that comes with a court case.
The strain of legal cases on the court continues to increase and concepts like a without prejudice offer allows the strain on courts to lessen if not diminish.