“Settlement privilege is a common law rule of evidence that protects communications exchanged by parties as they try to settle a dispute. It enables parties to participate in settlement negotiations without fear that information they disclose will be used against them in litigation, thereby promoting honest and frank discussions and the possibility of achieving settlement: Union Carbide Canada Inc. v. Bombardier Inc., 2014 SCC 35 (CanLII), [2014] 1 S.C.R. 800 at paragraph 31. Settlement privilege applies even in the absence of contractual provisions providing for confidentiality.
Although there are certain recognized exceptions to settlement privilege, none of these exceptions applies in this case. To come within an exception to settlement privilege, it must be shown on a balance of probabilities that a competing public interest in disclosure outweighs the public interest in encouraging settlement: Sable Offshore Energy Inc. v. Ameron International Corp., 2013 SCC 37 (CanLII), [2013] 2 SCR 623 at paragraph 19.”