998 Offer Was Made in Good Faith
In Robbins v. Essex Management Corp., Case No. B221857 (2d Dist., Div. 4 Aug. 16, 2011) (unpublished), plaintiff rejected a $200,000 998 offer and was defensed after a jury trial. Defendant then filed a memorandum of costs seeking a substantial sum, being successful in obtaining a costs award totaling $107,408.33. Disappointed plaintiff appealed, arguing that the 998 offer was not in good faith.
Wrong, said the appellate court. Nothing in the record demonstrated that the offer was not in good faith, with a favorable verdict to the defendant constituting prima facie evidence showing the offer was reasonable in nature. (People ex rel. Lockyer v. Fremont General Corp., 89 Cal.App.4th 1260, 1271 (2001); Elrod v. Oregon Cummins Diesel, Inc., 195 Cal.App.3d 692, 700 (1987).) The amount of fees charged by plaintiff’s attorney, even though it may have exceeded $20,000, was not germane to the reasonableness of the offer, because the plaintiff here was not entitled to recover fees as part of the 998 calculus in this case in any event.
BLOG UNDERVIEW–Co-contributor Mike noticed that one of the winning attorneys on appeal was Golnar J. Fozi. Mike worked with Ms. Fozi while they were both a Menke, Fahrney & Carroll in Costa Mesa. Greetings to you, Golnar, and congratulations.
