Tomlin Orders: Confidential Settlements Explained

Tomlin Orders: Confidential Settlements Explained

TL;DR

A Tomlin Order allows parties to settle a dispute privately while keeping the settlement terms confidential in a separate schedule. It stays the proceedings, offers flexibility, and provides a simple enforcement route. It is ideal for sensitive disputes where confidentiality and efficient resolution are priorities.

Confidential settlements are now a common feature of civil disputes, especially when cases involve sensitive financial information or reputational concerns. A Tomlin Order gives parties a structured way to resolve a case while protecting the privacy of the agreement itself. It pauses the court proceedings, keeps the settlement terms out of the public record, and still provides a reliable enforcement route. This makes it a practical solution for anyone who wants certainty without publicity.

What Is a Tomlin Order

A Tomlin Order is a specific type of consent order used in English and Welsh civil courts. It records that the parties have reached a settlement and that the proceedings should be stayed on agreed terms. Unlike a standard consent order, the detailed terms of the settlement do not sit within the public order. Instead, they form part of a separate contract known as the schedule. This structure allows the parties to close the dispute without exposing the details to public scrutiny.

Tomlin Orders are commonly used in commercial, employment, and financial cases. They provide discretion, certainty, and flexibility, which makes them particularly suitable for situations where the parties want to protect confidential information or avoid a public judgment.

Structure of a Tomlin Order

The Public Court Order

The main body of the Tomlin Order is short and formal. It simply states that the proceedings are stayed on the terms agreed between the parties. It also includes permission for either party to return to the court to enforce those terms if needed. This part of the document is placed on the official court file and forms part of the public record.

The Confidential Schedule

The confidential schedule is the heart of the settlement. It contains the full terms that the parties have agreed to follow. These terms operate as a private contract and can include obligations that go beyond what the court could normally order. The schedule is not usually filed on the public record and is often returned to the parties or sealed to preserve confidentiality. Because it is a contractual document, clarity and careful drafting are essential to prevent future disagreements.

Why Tomlin Orders Protect Confidentiality

Confidentiality is built into the design of a Tomlin Order. The private schedule keeps the sensitive information separate from the formal court order. The courts routinely accept this arrangement because the principle of open justice does not require confidential settlement terms to be made public. The only information visible to the public is that the case has been stayed on agreed terms.

Some courts return the schedule to the parties after the order is approved. Others place it in a sealed envelope in the file. In some cases, the parties are permitted to rely on a separate settlement agreement without filing the schedule at all. These approaches help preserve the privacy of the settlement while still giving the parties efficient access to the court if enforcement becomes necessary.

Key Features and Legal Benefits

Stays Proceedings

A Tomlin Order brings the active court proceedings to a halt. This saves time, avoids the need for a trial, and allows the parties to move forward once the dispute is resolved.

Efficient Enforcement

If one party fails to comply with the settlement terms, the other party can return to the court for enforcement without starting a new claim. This creates a faster and more cost-effective route to resolve any breach.

Flexibility in Settlement Terms

The schedule can include terms that fall outside the normal powers of the court. This gives the parties freedom to tailor the agreement to their specific needs.

Avoiding Public Judgments and CCJs

Using a Tomlin Order helps defendants avoid a formal judgment being recorded against them. This can be important for credit records, regulatory obligations, and professional reputation.

When You Should Use a Tomlin Order

A Tomlin Order is well-suited to cases where privacy is a priority. Commercial disputes often involve sensitive financial records or information that parties prefer to keep confidential. Employment disputes may require discretion when reputational issues or ongoing relationships are involved. It is also useful when the parties want to include settlement terms that go beyond the issues raised in the original claim. The flexibility and confidentiality make it an attractive tool for many types of civil disputes.

Limitations and Risks

Drafting Errors

The schedule is a private contract, so any unclear or incomplete terms can lead to fresh disputes. A poorly drafted schedule may weaken enforcement rights or create uncertainty about what each party must do.

Jurisdictional Limits

The court has limited involvement with the confidential schedule. This means the court cannot rewrite or adjust the schedule simply because a party later regrets the terms. Relief from those terms follows normal contract law principles.

When Courts May Intervene

Courts may intervene if the order is improperly structured or if the parties attempt to include terms that fall outside the court’s power to stay proceedings. The court will also ensure that the wording of the public order is accurate.

When a Standard Consent Order Is Better

A standard consent order may be more suitable when the settlement terms do not require confidentiality or when the agreement must be placed directly into the public record for transparency or regulatory reasons.

Enforcement: What Happens If a Party Breaches

A Tomlin Order contains permission for either party to return to the court to enforce the settlement terms. This avoids the need to begin a new claim for breach of contract. The court can order the defaulting party to comply with the agreed terms or provide other suitable remedies. This streamlined process is one of the strongest advantages of using a Tomlin Order.

Tomlin Order vs Standard Consent Order

A Tomlin Order differs from a standard consent order in several important ways. A consent order places the settlement terms directly within the public court record. A Tomlin Order keeps those terms private through the schedule. A consent order is suitable for straightforward arrangements that require no confidentiality. A Tomlin Order is the preferred option when the settlement contains sensitive information or a wide range of terms that extend beyond the original dispute.

When the Court Might Reject a Tomlin Order

Courts may decline to approve a Tomlin Order if it is incorrectly drafted or if the terms requested fall outside the scope of a lawful stay of proceedings. The court will also refuse an order if the schedule appears to impose obligations that cannot be enforced in the normal way. Ensuring proper format and lawful content prevents delays and protects the agreement.

Speak to Our Civil Litigation Lawyers

Our civil litigation team provides clear guidance on Tomlin Orders, tailored settlement terms, and effective enforcement strategies. We help you resolve disputes privately while keeping full legal protection in place. Contact us for precise advice on drafting, reviewing, or enforcing a Tomlin Order so your agreement is secure and enforceable. Our lawyers are ready to support you at every stage.

You Ask, We Answer

FAQs

Yes, a Tomlin Order can be used in cases involving multiple parties, but each party must agree to the settlement and the terms set out in the schedule. The drafting becomes more complex because responsibilities, payment structures, and enforcement rights must be clearly defined to 

Yes, parties may agree to settle at any stage of litigation, even once the trial has begun. The court will usually approve a Tomlin Order provided the settlement is genuine and the order is correctly drafted. This helps parties halt further costs and avoid the uncertainty of a judgment.

Yes, interest can be included and is often specified within the schedule. Parties commonly set interest rates for late payments or outstanding amounts. This prevents disputes about financial consequences if a party delays payment and ensures the settlement provides clear protection for the receiving party.

A challenge must follow normal contract law principles, such as misrepresentation, mistake, or duress. The court does not vary the schedule simply because one party regrets the agreement. Any challenge requires proper evidence and will be treated as a contractual dispute rather than a challenge to the order.

Yes, but care is needed. Tomlin Orders can be used in possession matters when parties agree to repayment plans or other terms. The schedule can record arrangements that fall outside the court’s usual powers. However, enforcement must follow correct procedures if possession becomes necessary later.

A Tomlin Order is not ideal for urgent relief because it stays proceedings. If immediate action is needed, such as freezing assets or obtaining an injunction, the court’s emergency powers are more appropriate. A Tomlin Order may follow later once urgent matters have been resolved and settlement discussions begin.

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