EAT holds that a 'without prejudice' letter can constitute a dismissal letter in certain circumstances. In the circumstances of this case, the EAT ruled that the letter comprised two separate parts. The first part openly terminated employment, whilst the second was a without prejudice offer subject to the parties concluding matters by way of settlement agreement. This case highlights that those writing without prejudice correspondence who wish to ensure that the entire contents are without prejudice, should exercise care when drafting it to make it clear that that is the case. The risks of failing to do so could mean that an employee is inadvertently dismissed, followed by a claim for unfair dismissal in which the employee is able to rely upon the open elements of the correspondence as evidence.
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