A Calderbank offer by a successful defendant respondent to bear its own costs if the appellant discontinues the appeal can found an order for indemnity costs if the refusal is unreasonable. The prospects of success on appeal and the element of compromise in the offer are key factors. The dissent raises the countervailing consideration that where an appeal raises a reasonably arguable point of general importance not previously decided, the respondent who secures a favourable determination of that point may not be entitled to indemnity costs.
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