Messrs. Clifford Chance,
Blackfriars House,
19 New Bridge Street,
London EC4V 68Y

Your Reference: KEA/00452/001/MTS

Without Prejudice Save as to Costs

Dear Sirs,

Malcolm v Oxford University

Thank you for your letter of 25th June and your draft Consent Order. I am pleased that a reasonable attitude towards settling this matter now seems to be prevailing with your clients.

I have no problems with your changes to Paragraphs 4 and 6 or with your new Paragraph 9 or with your abandonment of any penalty or damages paragraph.

In my enclosed redraft Consent Order I have slightly changed your wording of Paragraph 7, but I cannot imagine this will present your clients with any problems. I appreciate that your clients may in general have difficulty controlling the behaviour of their former officers, so I would like to put it on record now that I would take your phrase "their servants and agents" to include Messrs. Alan Ryan and Richard Charkin. You may think my extended phrases "adverse or derogatory" and "statements, letters or articles" involve unnecessary repetition, but I believe they would be useful to include.

I have also made a small further clarification in Paragraph 6: in the first clause of the last sentence "the terms of" has become "each and every term of" and I have corrected what I presume is a spelling mistake in your last word of Paragraph 1. Otherwise I have adopted your layout and wording throughout.

Anticipating no further problems, I have this morning telephoned Master Barratt's clerk and been advised that we can attend upon him for his sealing of the Order in his ex parte period at 2.15 on next Wednesday 1st July. The clerk is telephoning me back later today to confirm this appointment, so I would be grateful if you too could confirm by return fax that it is convenient.

With reference to the 4th paragraph of your covering letter, I can confirm that I have not mentioned any terms of any proposed settlement agreement between us to any journalist or reporter.

With reference to your 8th paragraph, I have been asked by a number of journalists to keep them informed of any developments in the case and have informally agreed to do so. From time to time they ring me up for news. Surely it would be better for both sides for there to be an agreed form of words issued in a joint press statement announcing (the fact of) this settlement than for there to be some strange, strangled non-utterances which would probably only provoke speculation?

Yours sincerely, Andrew Malcolm

The Plaintiff and Defendants having agreed to the terms set forth in the Schedule hereto

BY CONSENT IT IS ORDERED THAT all further proceedings in this action be stayed, except for the purpose of carrying such terms into effect with liberty to apply as to carrying such terms into effect and with no Order as to costs.

2. The Plaintiff's Appeal and the Defendants' Respondents' Notice shall be dismissed by consent, such forms of dismissal by consent to be signed exchanged and lodged on the date hereof.

3. The Defendants will use their best endeavours to procure letters of agreement of Sir Michael Atiyah, Dr. Lauchlan Glenn Black and Miss Anne Smallwood not to enforce the Order for taxation of their costs made by Master Barratt on 9th March 1990 or any other costs claims against the Plaintiff, such letters of agreement from the solicitors for the abovementioned to be addressed and handed to the Plaintiff on the date hereof.

4. Subject to the fufilment of Paragraph 3 above, the Plaintiff will forthwith release Sir Michael Atiyah, Dr. Lauchlan Glenn Black and Miss Anne Smallwood from any and all claims arising out of this cause of action.

5. Each party hereby agrees to bear its own costs of the action notwithstanding any Order for costs made in these proceedings.

6. From the date hereof both the Plaintiff and the Defendants will keep strictly confidential and not disclose, nor cause, permit or howsoever otherwise procure the disclosure of, the terms of the agreement herein to any third party, save as required by law and save that the terms of the agreement herein may be disclosed to the parties' professional financial advisors and to Clifford Chance and Harvey McGregor QC (for the Defendants) and to Richard White (for the Plaintiff) on condition that these aforesaid legal advisors agree not to disclose the terms to any third party. These undertakings of confidentiality apply to the terms of the agreement herein but not to the fact of the settlement and when questioned concerning the settlement, the parties shall reply with words to the following effect: "the parties have agreed to settle their outstanding claims but are bound by mutual undertakings of confidentiality and accordingly are not at liberty to discuss or comment upon the terms of the settlement".

7. The Defendants agree that they, their servants and agents, or any of them, will not publish or solicit for publication any adverse or derogatory statements, letters or articles about the Plaintiff or about the merits or quality of the Plaintiff's work Making Names.

8. The undertakings contained in Paragraphs 6 and 7 hereof are of unlimited duration.

9. Subject to the fulfilment of the terms hereof, the Plaintiff forthwith releases the Defendants, and the Defendants forthwith release the Plaintiff, from any and all claims arising out of or in connection with these proceedings.

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