Cengage Advantage Books: Law for Business 19th Edition by John Ashcroft,Katherine Ashcroft,Martha Patterson

Exercise 15

Paul Lietz worked for Hansen Law Offices. Hansen terminated Lietz, who then sued for breach of employment contract and unpaid wages. He asked for economic damages, double damages, costs, and attorney's fees. Hansen submitted an offer of judgment, saying it offered "to settle the claim against defendants at the present time in the amount of $7,500." Lietz responded by saying he "accepts Defendants' offer of judgment... in the amount of seven thousand five hundred dollars ($7,500)." Neither writing mentioned attorney's fees. Hansen sent Lietz a check for $7,500. He returned the check, saying he would seek attorney's fees since the law allowed such fees when an offer of judgment is made. Hansen said her attorney had made a mistake in drafting the offer of judgment. Should the court find the entry of judgment valid?