Following the dismissal of the moving party's motion, the responding party sought costs on a substantial indemnity basis, relying on a Rule 49 offer to settle and allegations of improper conduct.
The court found that the offer to settle did not strictly comply with Rule 49.10(1) because it included undeterminable costs, and the moving party's conduct was not reprehensible, scandalous, or outrageous.
Applying the principles of fair and reasonable costs, the court reduced the responding party's claimed hours for preparation and awarded costs on a partial indemnity basis fixed at $27,000.
