---
title: "Check a Calderbank letter against the Hazeldene factors in a Victorian proceeding"
url: "https://ailawframework.com/practice/commercial-litigation-and-dispute-resolution/check-a-calderbank-letter-against-the-factors-for-an-indemnity-costs-app/victoria"
type: "task_jurisdiction_version"
site: "AI Law Framework"
id: "A5-LT20261023-2-VIC"
practice_area: "Commercial Litigation & Dispute Resolution"
tier: "yellow"
lawyer_review: "required"
jurisdictions: ["VIC"]
last_reviewed: "2026-10-25"
---

# Check a Calderbank letter against the Hazeldene factors in a Victorian proceeding

> From the letter, list the offer, how long it was open, whether it is inclusive of costs, and whether it foreshadows an indemnity application. The tool does not decide whether rejection was unreasonable.

Canonical page: https://ailawframework.com/practice/commercial-litigation-and-dispute-resolution/check-a-calderbank-letter-against-the-factors-for-an-indemnity-costs-app/victoria  
Last reviewed: 2026-10-25

Site index for agents: https://ailawframework.com/llms.txt

## Key facts

| Fact | Value |
| --- | --- |
| Practice area | [Commercial Litigation & Dispute Resolution](https://ailawframework.com/practice/commercial-litigation-and-dispute-resolution.md) |
| Human involvement | Yellow: Lawyer and AI draft together |
| How AI is used | From the letter, list the offer, how long it was open, whether it is inclusive of costs, and whether it foreshadows an indemnity application. The tool does not decide whether rejection was unreasonable. |
| What the lawyer must review | The lawyer decides whether rejection was unreasonable. Use the six factors to guide that discretion. They are not a rule of court. Check a formal offer under rules 26.03 and 26.08, not under these factors. Do not apply County Court offer rules. They were not opened. |
| Written for | Victoria |
| Applies to | [Check a Calderbank letter against the factors for an indemnity costs application](https://ailawframework.com/practice/commercial-litigation-and-dispute-resolution/check-a-calderbank-letter-against-the-factors-for-an-indemnity-costs-app.md) |

## Checking plan

**Verify against sources**

The lawyer judges unreasonableness. The tool lists the letter against the six factors in the opened article.

- What the AI does: From the letter, list the offer, how long it was open, whether it is inclusive of costs, and whether it foreshadows an indemnity application. The tool does not decide whether rejection was unreasonable.
- What the lawyer does: Decide whether rejection was unreasonable and whether to rely on the letter.
- Who reviews: Lawyer competent in this practice area
- Basis: Checked against the linked sources on 23 October 2026. Confirm the current instrument before reliance.

## Checks the lawyer makes

1. The article describes a letter marked without prejudice except as to costs. It may be inclusive of costs and open for a short time. There is no prescribed form.
2. The six matters, drawn from Hazeldene's Chicken Farm Pty Ltd v Victorian WorkCover Authority (No 2) [2005] VSCA 298 at [25], are the stage of the proceeding, the time allowed, the extent of the compromise, the prospects at the date of the offer, the clarity of the terms, and whether indemnity costs were foreshadowed.
3. A formal offer under rule 26.03 must be open for at least 14 days and cannot be withdrawn while open unless the Court otherwise orders.
4. Rule 26.08, including indemnity for the whole claim in a death or bodily-injury case, does not apply to a Calderbank letter of its own force.

## Notes

- Practice Note SC GEN 25, issued on 14 May 2026, covers Supreme Court documents, including pleadings, submissions and expert reports. Do not put confidential or sensitive material into a public AI tool.
- The judgment in Hazeldene was not opened. The six factors are the Law Society Journal article's account of that decision, published on 4 October 2022. The County Court Order 26 was not opened.

## Practical guide

Jurisdiction: A Victorian proceeding in which a Calderbank letter is used on costs, contrasted with Order 26 of the Supreme Court rules

**Deliverable**: A factor-by-factor note on the letter.

**Inputs**

- The letter
- How long it was open
- Whether it is a formal offer of compromise

**Example**: Illustrative example: The letter was open for two days and does not say indemnity costs will be sought. The note marks the time and the sixth factor. The lawyer decides whether rejection was unreasonable.

**Stop and escalate when**

- The letter is a formal offer of compromise.
- The proceeding is in the County Court and the County Court offer rule has not been read.

Checked 2026-10-23.

## Sources

- [Law Society Journal, settlement offers and indemnity costs (4 October 2022)](https://lsj.com.au/articles/what-is-a-calderbank-offer-settlement-offers-and-indemnity-costs/) (checked 2026-10-23)
- [Supreme Court (General Civil Procedure) Rules 2025 (Vic) r 26.03](https://www.austlii.edu.au/au/legis/vic/consol_reg/sccpr2025433/s26.03.html) (checked 2026-10-23)
- [Supreme Court (General Civil Procedure) Rules 2025 (Vic) r 26.08](https://www.austlii.edu.au/au/legis/vic/consol_reg/sccpr2025433/s26.08.html) (checked 2026-10-23)
- [Supreme Court of Victoria, Practice Note SC GEN 25](https://www.supremecourt.vic.gov.au/areas/legal-resources/practice-notes/sc-gen-25-the-use-of-artificial-intelligence-by-court-users) (checked 2026-10-23)

## Forms and precedents for this task

| Form or precedent | Kind | AI level | Summary |
| --- | --- | --- | --- |
| [Reply to a Calderbank offer in a personal injury claim](https://ailawframework.com/precedents/personal-injury-and-compensation/reply-to-calderbank-offer.md) | Letter | Yellow | A reply to a Calderbank offer in a Victorian, Queensland or New South Wales personal injury claim. It identifies unclear terms and the time allowed, and in Victoria it uses the Hazeldene list only. |

Signed-in accounts can read the full text of each one.

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*
