Bank of Scotland PLC v Hoskins [2021] EWHC 3038 (Ch)

An application for strike out or alternatively summary judgment of a counterclaim on the basis that such a claim had been compromised in a settlement agreement following mediation.  Useful consideration of the powers of the court to strike out or give summary judgment and the differences between the two powers.   A salutary reminder to parties to be aware of the language being used when settling claims.  In this case, the release clause said:

“The agreement of the Claimant in clauses 1 to 5 in these Terms of Settlement is in full and final settlement of the claim and counterclaim in the proceedings between the parties in the High Court of Justice, Chancery Division, under claim number HC12B03406 (“the Proceedings”) and of all claims, past present and future, that the First and Second Defendants may have against the Claimant (and/or its servants or agents or other companies within the Lloyds Banking Group) arising out of or in any way relating to the Proceedings or the subject matter thereof, whether or not such claims are presently known to the First and Second Defendants or either of them.”

And Clause 7 contained a covenant not to sue:

“The First and Second Defendants on behalf of themselves and their assigns, hereby agree not to make, issue or bring in any jurisdiction any complaint, allegation and/or claim (including before an adjudicator or a regulatory or statutory or similar body or any court of law) in relation to the subject matter of the counterclaim.”