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 must 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.
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