In a corner, the lateral forces will make the chassis move sideways relative to the rear axle - due to the flex of the leaf springs. Up to a certain point, the tyres maintain their grip, but with uneven tarmac, in the wet or simply because of excessive forces, the grip might be lost for i microsecond. The axle then moves laterally and re-obtains a neutral position relative to the chassis, which then again moves lateral relative to the axle and so forth. Thus an undesired stepwise lateral movement of the rear of the car, which the Panhard rod is meant to prevent. Got it right, or will somebody care to correct me?
