Settlement negotiations are generally subject to the 'without prejudice' rule. A Without Prejudice conversation is another mechanism used to protect the confidentiality of discussions between an employer and employee.What is the point of the "without prejudice" rule? The most frequent situation where a without prejudice discussion might occur is in seeking to settle a dispute through some form of negotiation. This confidentiality of negotiations is normally protected under the 'without prejudice' rule. The 'without prejudice' rule prevents anything written or said in a genuine attempt to settle an existing dispute from being presented as evidence. A conversation without prejudice is a discussion between an employer and employee, or between anyone acting on behalf of either party. When do without prejudice or protected conversations come into play? What is the point of the "without prejudice" rule? How does the 'without prejudice' principle work?