The Court ordered indemnity costs from the date of a Calderbank offer where the defendants had offered to transfer the disputed property interest to the plaintiff (effectively capitulating on the substantive claim) with each party bearing their own costs, and the plaintiff failed to accept. The Court held that where a Calderbank offer involves near-complete capitulation on the substance of the claim, non-acceptance will be unreasonable even if the offeree's prospects of success on the merits could be characterised as high, because proceeding to trial to recover costs alone cannot justify rejecting such an offer.
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