Moshos v French (No. 3)

Moshos v French (No. 3) was a legal dispute between Moshos, the plaintiff, and French, the defendant, that was heard by the Supreme Court of Victoria. The matter related to indemnity costs incurred by the plaintiff after making a Calderbank offer that was not accepted by the defendant. The plaintiff sought an order for indemnity costs, arguing that the defendant's refusal to accept the offer was unreasonable.

The court was required to determine whether it was unreasonable for the plaintiff not to accept the defendant's Calderbank offer. A Calderbank offer is an offer made by a party to settle a case on terms that include an agreement by the other party to pay the costs of the offeror up to the date of the offer if the offer is not accepted and the offeror is not more successful at trial. The court had to weigh the factors that influenced the plaintiff's decision not to accept the offer and assess whether the plaintiff's decision was reasonable in the circumstances.

In its reasoning, the court considered the nature of the Calderbank offer and the circumstances surrounding the plaintiff's decision not to accept it. The court found that the plaintiff's decision not to accept the offer was reasonable, given the strength of their case and the potential for a more favourable outcome at trial. The court emphasised the importance of the offeror's discretion in deciding whether to accept a Calderbank offer, and that the offeree cannot unilaterally determine the terms of the offer. The court ultimately ruled in favour of the plaintiff, awarding indemnity costs.

The final orders of the court included an award of indemnity costs to the plaintiff, Moshos. The court found that the plaintiff's decision not to accept the defendant's Calderbank offer was reasonable, and that the defendant should be liable for the plaintiff's costs up to the date of the offer. The court's decision highlighted the importance of the offeror's discretion in deciding whether to accept a Calderbank offer and the need for careful consideration of the factors that influence such decisions.