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With or without prejudice? New exceptions to the 'without prejudice' rule

Overview

The recent Supreme Court judgment in the case of Oceanbulk Shipping & Trading SA v TMT Asia Ltd and others has created a further exception to the general rule that communications protected by without prejudice privilege are inadmissible in court, and also provides a useful reminder of the already established exceptions to the without prejudice rule.

The new exception created by Oceanbulk is that evidence of without prejudice negotiations can be given to assist in the interpretation of a contract.

This briefing from Travers Smith explains the significance of Lord Clarke's leading judgment in the case, which is both important and more nuanced than it might at first appear.

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