Business, Legal & Accounting Glossary
Without abandonment of a claim, privilege, or right, and without implying an admission of liability.
These are words used as a heading to a document or letters that indicates that what follows can’t be used in any way to harm an existing right or claim, cannot be taken as the signatory’s last word, cannot bind the signatory in any way, and cannot be used as evidence in a court of law.
For example: a solicitor may use these words when making an offer in a letter to settle a claim, implying that the client may decide to withdraw the offer.
It may also be used to indicate that, although an agreement may be reached on the terms set out with the document (on this occassion), the signatory is not bound to settle similar disputes on the same terms.
Legal phrase: Without abandonment of a claim, privilege, or right, and without implying an admission of liability.
Contents of such documents normally cannot be disclosed to the courts but, when a party proposes to settle a dispute out-of-court, it is the genuineness of the effort that determines whether the proposal can disclosed or not, and not whether the words without prejudice were used.
If a judge dismisses a case “without prejudice” this is stating that the rights of the plaintiff have not been “truncated, waived or terminated” and the plaintiff may file the lawsuit a second time. There are a variety of reasons a case may be dismissed without prejudice including if the plaintiff decides they do not want to pursue the case, the judge believes the plaintiff cannot prove their case, or the plaintiff and the defendant have reached a settlement agreement and a lawsuit is no longer necessary. Unfortunately, for the first two reasons, the plaintiff could file the claim again.
A judge can also decide to terminate a case “with prejudice” when the plaintiff filed a nuisance suit, acted in bad faith or failed to follow the rules of court. In this case, the plaintiff is barred from filing another claim and the case is considered “settled” by the court.
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This glossary post was last updated: 30th March, 2020 | 6 Views.