Section 998: $15,000/Fee Waiver Offer Was Accepted Before Revocation

Result … 998 Offer Was Enforceable.

     Gardenias v. Candreva, Case No. B223556 (2d Dist., Div. 6 Mar. 14, 2011) (unpublished) reminds us all that Code of Civil Procedure section 998 offers are guided by contract principles, especially in the area of acceptance and revocation.

     In this one, defendant accepted a $15,000 § 998 offer from plaintiff, complete with a mutual release of claims and each side bearing its own fees/costs. Plaintiff had buyer’s remorse after the acceptance, trying to argue that she properly revoked the 998 offer later on.

     No way, said the appellate court upon review of whether the 998 offer should be enforced. The defense acceptance was absolute and unqualified before the revocation call.

     Plaintiff argued that the acceptance of the 998 offer must contain the exact same language as the offer to make the acceptance valid. No authority was cited for this proposition, and nothing in the defense acceptance changed the terms of the offer.

     Plaintiff also contended that the defendant did not file proof of acceptance of the 998 offer with the court clerk or judge. That one did not go far, because the acceptance was filed with the 998 enforcement motion and “the statute does not require that the proof of acceptance be filed within any particular time frame.” (Bias v. Wright, 103 Cal.App.4th 811, 820 (2002).)

     Technical arguments did not prevail; result: 998 offer was valid and enforceable.

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