COSTS — Calderbank offer of compromise — whether offer was unreasonably rejected — special costs order appropriate
Quick Take
1A Calderbank offer made before pleadings are filed or document production is complete is not for that reason alone incapable of grounding an indemnity costs order; the court assesses whether the offeree had sufficient information to evaluate the offer on a commonsense approach to the particular circumstances.
2That an offeree responded to a Calderbank offer with a counter-offer within the offer period, without seeking an extension of time, is a relevant factor supporting a finding that the offer period was adequate and that rejection was unreasonable.
3Where competing claims are acknowledged as cogent and arguable, and the outcome is likely binary (all-or-nothing), rejection of a 50/50 compromise offer may be found unreasonable even at a relatively early stage of proceedings.
