Chapter 15 - Offer to Settle. O.22B Flashcards
OFFER TO SETTLE
Overview
1) The law, scope & purpose
2) Non-disclosure principles
3) Procedures to make offer to settle
4) Effect of non-compliance
5) Procedures to accept offer to settle
OFFER TO SETTLE
The law, scope & purpose
1) The law:
- O.22B
2) Scope:
- A party who wants to settle, but faced with a reluctant counter party may use O.22B r.1 of the Rules of Court 2012 (ROC) to make an offer to settle in Form 34.
- O.22, r.4: An offer to settle is deemed to be an offer of compromise made without prejudice save as to costs.
- O.22B, r.12: The offer to settle is also applicable to counterclaims and third-party claims
3) Purpose - Calderbank v Calderbank:
- to spur the parties to bring litigation to an expeditious end without judgment and thus to save costs and judicial time.
OFFER TO SETTLE
Non-disclosure principle
O.22B, r.5:
- Offer to settle is made without prejudice.
- It cannot be used as evidence to indicate admission of guilt.
- Offer to settle may only be disclosed in the event of determination of costs when the offer to settle is not accepted.
OFFER TO SETTLE
Procedures - making an offer
1) Form - O.22B, r.1:
- Form 34
2) Time - O.22B, r.2:
- Any time before disposal of matter.
OFFER TO SETTLE
Effect of non-compliance
1) Wrong form - Sie Choon Poh v Amara Hotel Properties:
- although the defendant’s offer to settle was not in the form prescribed by RC (Sing) O.22A r.1 (the comparative provision in RC of Singapore), it was taken into consideration by the court.
2) Calderbank letter instead of the prescribed form - Shi Gang v Koh Pee huat:
- since the ‘Calderbank letter’ is not an offer to settle it cannot be used to invoke the provisions of the Order;
- but it may be considered by the court in determining costs.
OFFER TO SETTLE
Procedures - accepting an offer
1) Time for acceptance - O.22B, r.3:
2) Manner of acceptance - O.22B, r.6:
3) Failure to comply with the accepted offer - O.22B, r.8
