Int. Assn. Machinist, Woodworkers Local W-246 v. Heil

"When determining whether the offer of judgment under ORCP 54(E) was more favorable than the judgment, the court must compare both amounts." Mulligan v. Hornbuckle, 227 Or App 520, 523, 206 P3d 1078 (2008).

Defendants appealed a supplemental judgment. Defendants assigned error to the lower court's ruling that the judgment exceeded their offer. Defendants argued that the court misinterpreted the law and under the current version of ORCP 54(E), "when an offer of judgment is silent regarding attorney fees, the correct approach is to exclude preoffer costs and fees on both sides of the comparison." Plaintiffs argued that the trial court decision to not add preoffer fees and costs to the offer of judgment was correct. "When determining whether the offer of judgment under ORCP 54(E) was more favorable than the judgment, the court must compare both amounts." Mulligan v. Hornbuckle, 227 Or App 520, 523, 206 P3d 1078 (2008). The Court held that the trial court erred in determining that the judgment exceeded defendant Jon Heil's offer of judgment. The court did not err in determining that the judgment exceeded Defendant Beverly Heil's offer because offers of judgment are meant to include the right to pursue recoverable attorney's fees incurred up to the time of service fo the offer; further, judgments are meant to include the sum of the award and those same fees and costs.  Supplemental judgment for attorney fees reversed and remanded as to defendant Jon Heil; otherwise affirmed.