What is the test for accepting an offer to waive costs in exchange for a consent dismissal of a claim?

British Columbia, Canada


The following excerpt is from Mohamed v. Intransit BC Limited Partnership, 2016 BCSC 321 (CanLII):

The plaintiff relied on several authorities. In McVeigh v. McWilliam, 2010 BCSC 655, the defendant had offered to waive costs in exchange for the plaintiff agreeing to a consent dismissal of its claim. The plaintiff did not accept this offer and was unsuccessful at trial. The defendant sought double costs on the basis that the offer ought reasonably to have been accepted. The court concluded, inter alia, that “the defendant’s offer did not really involve any meaningful element of compromise” and that it was not unreasonable for the plaintiff to refuse the offer; at paras. 24-25.

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