The successful plaintiff, Mettko Construction Ltd., sought substantial indemnity costs after being awarded damages at trial.
The defendant, Hauser Realty Corp., argued for partial indemnity, asserting that Mettko's Rule 49 offer to settle was implicitly withdrawn by subsequent settlement negotiations and that the quantum sought was unreasonable.
The court found that Mettko's Rule 49 offer was indeed withdrawn by implication due to later offers.
While acknowledging Mettko's success and the importance of the issues, the court also considered factors such as the evolving nature of Mettko's case theory and multiple changes in counsel, which contributed to increased costs.
The court ultimately awarded Mettko $225,000 in all-inclusive costs, deeming it a reasonable and proportionate amount for the unsuccessful party to pay, rather than the $456,609.81 sought.