[Evidence – whether bank’s certificate of money due was conclusive evidence. Whether ‘without prejudice’ correspondence admissible where there has been a concluded settlement.
A bank claimed money due and applied for summary judgment. The hearing of the application was adjourned with liberty to restore after a settlement had been entered into by the parties. The settlement agreement contained an admission of the debt and provided that if the debtors defaulted in performance of the terms of
the settlement they agreed to the bank’s entering summary judgment. The debtors defaulted and when the bank restored the application in relation to the original claim it sought to adduce evidence as to the settlement. When the defendants claimed that the settlement had been brought about by undue pressure, the bank sought to produce a ‘without prejudice’ letter to show that negotiations had been conducted at arms length through solicitors. The defendants applied to strike out the letter and other evidence relating to the settlement, claiming privilege. They also applied to strike out a certificate from the bank which, the bank claimed, was under its contract with the debtors conclusive evidence of the sum stated in the certificate to be due.]