Following a 13‑day jury trial in a pedestrian motor vehicle accident case, the plaintiff obtained damages exceeding a prior offer to settle made under Rule 49 of the Rules of Civil Procedure.
The plaintiff sought significant costs and disbursements, arguing entitlement to partial indemnity costs up to the date of the offer and substantial indemnity costs thereafter.
The court applied s.131 of the Courts of Justice Act and Rules 57.01 and 49.10, emphasizing the policy objective of encouraging settlements and maintaining predictability in cost consequences.
While the court accepted that Rule 49 consequences applied because the judgment exceeded the offer, it found the hours and some disbursements claimed to be excessive.
Applying principles of fairness and proportionality, the court reduced the amounts and fixed total costs and disbursements at $330,000 inclusive of HST.
