Making a 998 Offer

One of the many ways in which we facilitate the settlement of our clients’ lawsuits is by making a “998 offer” to the opposing counsel.  A “998″ is a settlement offer made pursuant to California Code of Civil Procedure Section 998, which permits the plaintiff to recover his or her costs from the defendant if the plaintiff obtains a “more favorable judgment or award” at trial.

A properly timed and calculated 998 offer can put tremendous pressure on the other party to settle the case, especially where the parties expect to incur substantial expert witness costs approaching trial.  Furthermore, under certain limited circumstances a plaintiff can obtain attorney fees from the defendant in the event that he or she obtains a more favorable judgment from a jury.

So, upon receiving a 998 offer, a defendant must not only consider whether the proposed settlement figure is, in their mind, an accurate approximation of the plaintiff’s damages.  They now must also consider whether the risk of being liable for the plaintiff’s costs and attorney fees outweighs the possibility of obtaining a defense verdict or lower award at trial.

At Phillips & Associates, we employ all strategic tools available under the law to provide the most favorable possible results for our clients.  To schedule a free consultation, call our Los Angeles or San Diego office today.