When is it reasonable to reject a costs-protective offer? Trouble on the travelator

When is it reasonable for a plaintiff to reject a defendant's costs-protective offer? This was the key issue for consideration in the case of Andrenacci v Australian Pacific Airports (Melbourne) Pty Ltd (Ruling No 2) [2017] VCC 864.

Facts

Ms A sued Australia Pacific Airports (APA) in relation to injuries she allegedly suffered when she slipped on a motionless travelator at Melbourne Airport in 2010.

Ms A was a registered dentist and her claim for economic loss was substantial, with future loss alone calculated as being between $1M and $1.8M. She reportedly sought damages in excess of $3M.

Trial was fixed for 22 February 2017. About 3 weeks prior to trial, APA served an Offer of Compromise for $100,000 inclusive of costs. Ms A did not accept the offer and the parties proceeded towards trial. However, the travelator of justice does not always run smoothly and the parties encountered a delay on the runway.