What does Rule 408 protect?
When a claim is disputed as to validity or amount, Rule 408(a) generally bars specified compromise offers and negotiation statements from being used to prove or disprove the claim's validity or amount, or to impeach by a prior inconsistent statement or contradiction. The rule's conditions matter; a subject line alone does not establish them.
Can settlement material be used for another purpose?
Rule 408(b) permits admission for other purposes, with examples including proving bias, negating a contention of undue delay, or proving an effort to obstruct a criminal investigation or prosecution. Avoid treating the rule as a promise that nothing said can ever appear in court.
Is this the same as confidentiality or privilege?
No. Rule 408 is an evidence-admissibility rule. Discovery is separately governed by rules including Civil Rule 26(b)(1), which addresses relevant, proportional, nonprivileged matter. Have counsel assess any applicable privilege, mediation rule, protective order, or confidentiality agreement instead of assuming Rule 408 supplies all of them.
How should I prepare?
Agree on the purpose and participants, decide what information to exchange, and review any proposed confidentiality terms. Use accurate, considered statements about the product and business. Separate a settlement proposal from documents or factual assertions you are not ready to disclose.