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This Practice Note sets out how to build a negotiation approach, offering tips on organising facts, aligning with client goals (including identifying the best alternative to a settlement), appraising the other side’s stance, selecting negotiation techniques, and deciding whether to open with a settlement proposal or a preliminary discussion. For direction on who should participate in settlement talks, and on confidentiality and the effect of ‘subject to contract’, see Practice Note: Settling disputes—who, confidentiality and subject to contract. For assisted routes to settlement, see Practice Note: What is ADR? and related material. For guidance on making offers and recording a deal, see Practice Notes: Settling disputes—settlement offers (Calderbank, WPSAC and Part 36) Settling disputes—how to document a settlement and related content Settling disputes—an early strategy for settlement A stage of litigation involves exchanging information under an applicable pre-action protocol or, if none governs the claim, under the Practice Direction Pre-Action Conduct and Protocols. The Letter of Claim and the Letter of...
Scope of this Practice Note This Practice Note addresses preparing a contract termination notice for breach, together with, where suitable, a without prejudice offer letter to resolve any claim stemming from the termination. It pinpoints the principal issues to assess and explains, in detail, the context underpinning the drafting of each of our bespoke termination notice Precedents and the context behind them. It also considers multiple bases for terminating, and the choice between relying on an express contractual right to terminate or proceeding at common law for repudiatory breach when both avenues exist, ensuring your termination notice is valid and evaluating whether, if deemed appropriate, to enclose it with an offer to settle any liability arising from the breach. For guidance on using our related bespoke notice of breach Precedents, see Practice Note: Drafting notices of breach of contract. When preparing a termination notice, it is vital to check that: there is a valid basis for bringing the agreement to an end—see: Is there...
This Practice Note considers the costs position where parties have reached a settlement as to the underlying substantive dispute but have been unable to reach an agreement as to costs. It addresses scenarios where compromise is reached before proceedings begin yet costs remain unresolved; in those circumstances, and where specified requirements are satisfied, a costs-only Part 8 claim can be issued to seek recovery. By contrast, if settlement is achieved after proceedings have started, a Part 8 route cannot be used. The Practice Note explains how parties may invite the court to make a costs order in the absence of agreement, and whether the court might insist on a full trial to determine the dispute over costs. It also looks at cases where an application is settled but with no deal on the recovery of costs. This Practice Note does not cover the costs position in matters involving a Part 36 offer or a Calderbank offer. For commentary on the costs impact of those offers, see Practice Note: Settling...
[ ON YOUR LETTERHEAD ] WITHOUT PREJUDICE SAVE AS TO COSTS [ SUBJECT TO CONTRACT ] [ Insert date ] [ Insert name and address of other party’s solicitor ] Dear [ insert contact name ] [ Insert subject of letter ] We refer to our open letter of [ today’s date OR [ insert date ] ]. As explained in that correspondence, both we and our client remain assured that, were your client to commence proceedings in relation to the alleged claim described in your letter of claim dated [ insert date ] (the ‘Letter of Claim’), our client would be entirely successful in resisting and defeating any such claim...
[ ON YOUR LETTERHEAD ] WITHOUT PREJUDICE SAVE AS TO COSTS [ SUBJECT TO CONTRACT ] [ Insert date ] [ Insert name and address of other party’s solicitor ] Dear [ insert contact name ] [ Insert subject of letter ] We write further to our open correspondence of [ today’s date OR [ insert date ] ]. As outlined in that correspondence, both we and our client are satisfied that our client will achieve complete success in its claim[ s ] against your client, arising from the agreement between our clients dated [ insert date ] (the ‘Agreement’). That position is advanced in claim [ insert claim action number ], and our client will [ insert details of the remedy sought, eg, recover payment of the unpaid invoices plus interest, pursuant to the agreement between our respective clients, as set out in our open letter ]. [ It is also our position that your client’s counterclaim dated [ insert...
[ ON YOUR LETTERHEAD ] WITHOUT PREJUDICE SAVE AS TO COSTS [ SUBJECT TO CONTRACT ] [ Insert date ] [ Insert name and address of other party’s solicitor ] Dear [ insert contact name ] [ Insert subject of letter ] We refer to our open correspondence of [ today’s date OR [ insert date ] ]. Our client is satisfied that, were it to commence and pursue proceedings in relation to its claim (as described in our letter of claim dated [ insert date ] (the ‘Letter of Claim’)), it would be entirely successful in [ insert details of the remedy sought, eg recovering payment of the outstanding invoices together with interest, payable under the Agreement as explained in our open letter ]. [ Our client also considers that your client’s threatened counterclaim, as set out in your letter dated [ insert date ] (the ‘Counterclaim Letter’), is completely without merit. ] Nevertheless, our client...