Hi(posted 7860 days ago)It's not quite s simple as that.
Technically, 'without prejudice' is only applicable where there are actually negotiations going on about a financial settlement of a claim. It's not safe, for example, to write and ask for a breakdown of an alleged debt and just mark it 'without prejudice'. It is far better explicitly to deny liability and state that the debt is not being acknowledged.
Even where there are negotiations going on, a recent case held that a squatter who was negotiating a lease of a house was not protected by 'without prejudice' and had acknowledged the owner's title (Bath & North Somerset DC v Nisholson [2002] 10 EG 156 (CS).
So, be careful
All the best
Guy