Offer of Judgment Rule

“Offer of Judgment” rule is a demand-side solution that has long term scope for tackling the problem. Coupled with an incentive-based approach, the idea is to create incentives for parties to settle the dispute. The rule is intended to provide an incentive for parties to settle and expedite the litigation process by taxing a plaintiff with the defendant's post-offer costs if the plaintiff refuses an offer and does not improve on it at trial.