Without Prejudice doesn’t always mean Off the Record

On 6 July 2017 the Supreme Court of Appeal ruled that a without prejudice offer can interrupt prescription.

KLD Residential v Empire Earth Investments (1135/2016) [2017] ZASCA 98 (6 July 2017)

The Supreme Court of Appeal ruled that where an acknowledgment of indebtedness is made by a debtor to a creditor, even in without prejudice settlement negotiations, the acknowledgment may be admitted in evidence for the sole purpose of interrupting the running of the prescription period in terms of s 14 of the Prescription Act 68 of 1969.