The plaintiff was involved in two separate motor vehicle accidents and sued multiple defendants, including her own insurer, State Farm, because one driver was uninsured.
At trial, one defendant, Hnatiuk, was found 100% responsible for the first accident, and the action against State Farm was dismissed.
The trial judge refused to order Hnatiuk to pay State Farm's costs (a Bullock or Sanderson order) and awarded the plaintiff solicitor-and-client costs against Hnatiuk based on an unaccepted offer to settle that included escalating costs.
On appeal, the Court of Appeal allowed the plaintiff's appeal, granting a Sanderson order directing Hnatiuk to pay State Farm's costs.
The Court dismissed Hnatiuk's appeal regarding the costs award, upholding the solicitor-and-client costs either under the discretion of Rule 49.13 or as a valid Rule 49 offer.