Costs in civil litigation are normally awarded on a partial indemnity basis. While substantial indemnity costs can be awarded against a party, the usual reason for such an order is the fact that the party has engaged in reprehensible, scandalous or outrageous conduct (Young v. Young, 1993 CanLII 34 (SCC), [1993] 4 S.C.R. 3 at p. 134). Substantial indemnity costs may also be awarded to a successful plaintiff under rule 49.10(1), where a plaintiff has made an offer to settle and has received a judgment at trial that is as favourable or more favourable than the offer. However, in such a situation, costs are awarded on a partial indemnity basis to the date of the offer, with substantial indemnity costs from the date of the offer, unless the court orders otherwise.
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