Notice · Personal Injury & Compensation

Offer of compromise in personal injury proceedings (UCPR r 20.26, NSW), with covering letter

Plaintiff's or defendant's formal offer of compromise under r 20.26 of the Uniform Civil Procedure Rules 2005 (NSW), with the mandatory contents, the acceptance period, and a covering letter explaining the indemnity costs consequences under rr 42.14 and 42.15.

Kind
Notice. A formal notice to serve or publish.
Where it applies
New South Wales
AI use
Yellow AI can help in set ways. A lawyer checks specific points before use.
Law stated as at
18 October 2026
Status
Maintained. Checked on 18 October 2026 against the 3 authorities it cites, for New South Wales.
Version
1
Source
Written for this library

When to use it

Use in NSW court proceedings for personal injury damages once the claim can be valued, to put the other side at risk of indemnity costs if it does better to refuse. The offer amount and terms come from the lawyer's settlement advice, approved by the client in writing.

Used for these tasks

Each task page says how far AI may help with the task and what the lawyer must review.

How AI may be used

AI may prepare the offer and covering letter from the settlement advice and the client's written instructions; the lawyer sets the amount and terms and checks the offer against r 20.26 before it is served.

AI may

  • Fill the parties, proceedings number, claim and the client-approved amount into the offer
  • Check the draft against each requirement of r 20.26(2) and list anything missing
  • Calculate the closing date for acceptance from the trial date and the date of service

AI must not

  • Must not propose or change the amount, the costs term or any other term of the offer
  • Must not include an amount for costs or describe the offer as inclusive of costs
  • Must not add terms that exclude, modify or restrict the operation of rr 42.14 or 42.15

The lawyer checks

  • The client approved the amount and terms in writing after advice, and the offer is a genuine compromise
  • The offer identifies the claim, the proposed orders and the amount, states it is made under the rules, deals with any interim payment and gives an acceptance period of at least 28 days if trial is two months or more away
  • Any Medicare, Centrelink or other refund obligations and any statutory costs limits for the claim are allowed for in the advice behind the offer

Method: how the Green, Yellow and Red levels are decided. This is guidance for planning, not legal advice.

Authorities

Read the full text

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