What is the test for making a reasonable settlement offer in a personal injury action?

British Columbia, Canada


The following excerpt is from Hilborn v. Wright, 2015 BCSC 1175 (CanLII):

The award of costs is discretionary. Cost rules are in to encourage early settlement of a dispute by rewarding a party who makes a reasonable settlement offer and penalizing a party who declines to accept a reasonable offer. The reasonableness of the offer must be considered in light of factors such as the timing of the offer, the offer's relationship to the claim, fees of evaluation and whether a rationale for the offer has been provided. Hartshorne v. Hartshorne, 2011 BCCA 29 at para. 23, 25 and 27.

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