Q: What does may result in prejudice mean
A: In auto insurance, it means that providing late notice to an insurance carrier of an accident could prejudice (or undermine) their rights. They could lose the ability to investigate the accident in a timely manner. If they can't question witnesses when their recollection is fresh, examine a car before it goes to a salvager, photograph skid marks, examine injuries, etc., the insurance company's position is that they suffer prejudice in their ability to effectively defend the matter, laying the grounds for a coverage disclaimer. Good luck
Jonathan R. Ratchik agrees with this answer
A: It really depends on the context in which the term is used. In the context of litigation, it often arises when you are seeking to amend your pleading or theory of liability after the time in which to do so has expired. A court may deny your request if it will result in prejudice to the defendant, i.e. the defendant took a position it would not have had you alleged your new theory of liability from the beginning. Or, if the Court is dismissing a case "with prejudice", it means that the dismissal is on the merits (as opposed to a procedural ground) which would prohibit the plaintiff from recommending the action or repleading.
Tim Akpinar agrees with this answer
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