Following the dismissal of an appeal from the Small Claims Court regarding a claim for $4,931.92 in unpaid rehabilitation fees, the successful respondent sought costs on a substantial indemnity basis.
The court rejected the request for substantial indemnity costs, finding that a letter asking the appellant to abandon the appeal on humanitarian grounds did not constitute an offer to settle.
Applying the principle of proportionality under Rule 1.04(1.1) of the Rules of Civil Procedure, the court fixed the respondent's partial indemnity costs at $5,000 all-inclusive, an amount roughly equal to the original claim.