In most cases a court is not permitted to consider settlement offers under Evidence Code section 1152, which makes “inadmissible” evidence that is offered to “prove [the offeror’s] liability for the loss.” The main purpose of this rule is to encourage settlement. However, that section does not prohibit a judge from considering a plaintiff’s rejection of a settlement offer when the court is considering a fee motion. In Meister v. Regents of the Univ. of Cal. (1998) 67 Cal.App.4th 445-456, the court found that it was trial court’s discretion to consider a party’s rejection of a settlement proposal, as a court should “consider all the facts and the entire procedural history of the case in setting the amount of a reasonable attorney’s fees award.”).
Consequently, plaintiffs should carefully consider a walk away offer from defense counsel, especially if it is made at the beginning of a case, prior to the filing of an anti-SLAPP motion.
Very interesting!