How Does a Proposal for Settlement Work in a Florida Lawsuit?
A proposal for settlement is a formal written offer to resolve a Florida civil lawsuit for money damages, governed by section 768.79, Florida Statutes, and Florida Rule of Civil Procedure 1.442. If the offer is rejected and the final judgment differs from it by at least 25 percent in the offeror's favor, the offeror is entitled to reasonable costs and attorney fees, subject to the court's authority under section 768.79(8)(a) to disallow an award for an offer not made in good faith.
Rule 1.442(b) controls timing. A proposal to a defendant may be served no earlier than 90 days after service of process on that defendant, and a proposal to a plaintiff no earlier than 90 days after the action began. No proposal may be served later than 45 days before the date set for trial or the first day of the docket on which the case is set for trial, whichever is earlier.
Under Rule 1.442(c), the proposal must be in writing. It must identify the applicable law, name the party making it and the party it is made to, state that it resolves all damages, state its total amount, and state whether it includes attorney fees. Under Rule 1.442(d), it is served on the other party but not filed with the court unless needed to enforce it.
Rule 1.442(f) provides that a proposal is deemed rejected unless it is accepted by delivery of a written notice of acceptance within 30 days after service. Section 768.79(4) describes acceptance by filing a written acceptance within 30 days. A proposal may be withdrawn in writing before acceptance is delivered.
Under section 768.79(1), a defendant is entitled to fees if the judgment is one of no liability or at least 25 percent less than the offer, and a plaintiff is entitled to fees if the judgment is at least 25 percent more than the demand. Fee shifting is discussed in attorney fee recovery in Florida.
This post is for informational purposes only and does not constitute legal advice or create an attorney-client relationship. Always consult a licensed attorney in your jurisdiction for advice tailored to your circumstances.
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