Settlements and compromises
98 Settlements and compromises
A settlement or compromise of a proceeding in which a party is a person under a legal incapacity is ineffective unless it is approved by the court or the public trustee acting under the Public Trustee Act 1978, section 59.
To enable the court to consider whether a settlement or compromise should be approved, the litigation guardian for the party must produce to the court—
an affidavit made by the party’s solicitor stating why the settlement or compromise is in the party’s best interests; and
a statement by the litigation guardian that instructions have been given for the settlement or compromise of the proceeding; and
any other material the court may require.
The documents mentioned in subrule (2) are not to be served on another party unless the court orders otherwise.
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