Prudential Insurance Company of America v Prudential Assurance Company Ltd [2003] EWCA Civ 1154 (31 July 2003)

Prudential Insurance Company of America v Prudential Assurance Company Ltd [2003] EWCA Civ 1154 (31 July 2003)

The correspondence between the parties was not subject to the 'without prejudice' rule because it was not aimed at compromising an existing dispute but at preventing disputes, was not marked 'without prejudice', and there was no implied contract restraining its use in foreign proceedings. English courts will not enforce extra-territorial restraint based solely on public policy, and no sufficient contractual basis was pleaded or proved.

Citation
[2003] EWCA Civ 1154
Parties
Appellant/defendant: The Prudential Insurance Company of America; Respondent/claimant: The Prudential Assurance Company Limited
Jurisdiction
England and Wales
Judgment Date
31 July 2003
Procedural Posture
Appeal (civil) / Appeal From High Court (chancery Division) to Court of Appeal
Outcome
Appeal dismissed
Legal Topics
Without Prejudice Rule, Privilege, Contractual Restraint, Extra Territorial Effect, Admissibility of Evidence
Intellectual Property Civil Procedure Without Prejudice Rule Privilege Contractual Restraint Extra Territorial Effect Admissibility of Evidence

Case Brief

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Parties

The Prudential Insurance Company of America

Appellant/defendant

The Prudential Assurance Company Limited

Respondent/claimant

Procedural Posture

Appeal (civil) / Appeal From High Court (chancery Division) to Court of Appeal

Legal Issues

  1. 1 Whether correspondence between parties from 1974 to 1996 is protected by the 'without prejudice' rule and thus inadmissible in foreign proceedings
  2. 2 Whether an implied contract restrains use of such correspondence in foreign litigation
  3. 3 Whether English courts should grant extra-territorial effect to the 'without prejudice' rule based on public policy or implied contract

Ratio Decidendi

The correspondence between the parties was not subject to the 'without prejudice' rule because it was not aimed at compromising an existing dispute but at preventing disputes, was not marked 'without prejudice', and there was no implied contract restraining its use in foreign proceedings. English courts will not enforce extra-territorial restraint based solely on public policy, and no sufficient contractual basis was pleaded or proved.

Court Disposition

Appeal dismissed

Orders

  • No order restraining use of correspondence in foreign proceedings
  • No declaration of privilege under 'without prejudice' rule for the correspondence