legal-writing
What is the effect of saying &quot;we reserve our (client&#39;s) rights&quot; when writing to another party to a dispute?
<p>In communication between parties to a dispute, the phrase <em>we reserve our client's rights</em> is often included. I've only ever seen this used by solicitors acting for a client in a matter, but I would imagine that it would have the same effect if used by one of the parties.</p>

<p>What is the purpose and legal effect of including this statement, and what are the consequences of <em>not</em> including it?</p>

<p>It is done to prevent or at least provide a defence against a latter argument based on <a href="https://en.m.wikipedia.org/wiki/Estoppel" rel="nofollow">Estoppel</a>; which at the risk of trivialising something that is very complex means that if you indicate to someone that you will or won't do something and they act on that indication then they may have a claim if you don't do what you indicated.</p>

<p>When lawyers say this they are usually outlining a client's possible future actions so estoppel is in play. If they include this they are specifically saying "... But we might not do that."</p>
