Scalia Inc sued Ginsberg Ltd in tort. Scalia claimed that it was entitled to receive $15 000 in compensation. Ginsberg denied liability, but in an attempt to resolve the issue quickly and quietly, formally offered to settle the claim for $9000. Scalia rejected the offer and took the case to trial in the Federal Court. The trial judge has now decided the case in favour of Scalia, but damages were limited to $8000. In the circumstances, the trial judge is also likely to award party- and- party costs against Ginsberg for the period up to the day when the settlement offer was made, and double party- and- party costs against Ginsburg for the period between that day and the end of the trial.

Question

Quizplus · Accepted Answer

The trial judge is likely to award costs against Scalia, not Ginsberg, for the period after the settlement offer was made, because Scalia rejected a settlement offer that was more favorable than the trial outcome.

Scalia Inc Sued Ginsberg Ltd in Tort