Cole S.C. Vegso

This was a correction endorsement relating to a prior costs decision following trial.

The court identified an error in the numerical figure used in discussing a defence settlement offer and corrected the amount from $31,400 to $93,900.

The court held that the corrected figure would have been sufficient to engage the presumptive costs consequences under Rule 49.10(2), but the treatment of settlement offers remained a neutral consideration in the circumstances.

The original costs disposition was left unchanged.

Following a civil jury trial arising from a motor vehicle accident, the plaintiffs sought partial indemnity costs of $158,760.27 after recovering substantially less than pleaded and less than sought in settlement offers.

The court applied the Rule 57.01 reasonableness and proportionality framework, balancing the amount claimed and recovered, indemnity considerations, complexity, party conduct, refusal to admit liability, and the practical realities of trying a personal injury action.

The court found legitimate concerns about over-lawyering, duplicated effort, and inclusion of work tied to accident benefits and uninsured motorist claims, but also found the defendants' late admission of liability unnecessarily increased the plaintiffs' litigation burden.

The defendants' failure to mediate or make settlement offers did not attract adverse costs consequences because they were not obligated to mediate under s. 258.6 of the Insurance Act and defendants are generally entitled to put plaintiffs to proof.

The plaintiffs were awarded partial indemnity costs fixed at $110,000 all-inclusive.