15 Nov 2023
WIENER STADTISCHE VERSICHERUNG AG VIENNA INSURANCE GROUP v INFRASSURE LTD.
**Reasons for Decision (Costs)**
- Judgment granted to Wiener Städtische Versicherung AG Vienna Insurance Group ("VIG") against Infrassure Ltd. for $8,969,760.17 plus pre-judgment interest.
- VIG claims costs of $3,496,810.81, including partial indemnity costs up to March 13, 2023, and substantial indemnity costs thereafter.
- Infrassure argues for costs on a partial indemnity basis with a 25% discount or on a substantial indemnity basis with a 25% discount.
- VIG made an offer under Rule 49.10 to settle for $8,500,000.00 before the trial.
- Infrassure claims that VIG's offer was not a genuine compromise, but the trial result exceeded the offer.
- The case involved complex issues related to a breach of contract claim, reinsurance agreements, policy exclusions, and follow-the-settlement obligations.
**Rule 57.01(1) Factors**
- VIG was the successful party, prevailing on key contractual and settlement-related issues.
- The case was factually and legally complex, requiring extensive resources.
- Infrassure challenged its contractual obligation and the settlement, prolonging the proceedings.
- VIG incurred high costs relative to the claim amount.
- Disbursements include travel expenses, expert witness fees, and document management fees.
- The court allows most disbursements, except for an expert who did not testify.
**Decision on Costs**
- The overriding principle is to award a fair and reasonable amount for the unsuccessful party to pay.
- Considering the result and Rule 57.01(1) factors, the fair and reasonable costs award is $2,800,000, inclusive of disbursements and taxes.
- Infrassure must pay $2,800,000 to VIG within 30 days.