Opinion ID: 2318759
Heading Depth: 1
Heading Rank: 13

Heading: Allstate's Cross-Appeal Concerning Denial of Attorney's Fees and Costs

Text: Allstate Insurance offered to settle with Hercules for $5,000. Hercules rejected the offer, and Allstate was subsequently dismissed from the suit. Allstate now seeks to recover costs and attorneys fees under Superior Court Civil Rule 68. [130] Allstate's argument must fail. Rule 68 does not authorize an award of costs unless the plaintiff obtains a judgment that is not more favorable than the offer. In Delta Air Lines, Inc. v. August, [131] the United States Supreme Court ruled that where, as here, the plaintiff obtains no judgment from the defendant seeking costs ( i.e., judgment is for the defendant), Rule 68 does not apply. [132] This is true even when the plaintiff obtains a judgment from defendants other than the one whose offer is rejected. [133] Even if Rule 68 were to apply, it does not authorize recovery of attorneys fees. [134]