Section 1101 Offer to Allow Judgment

What is the difference between an 1101 Offer to Allow Judgment, and an 1101.1 Offer of Judgment? I received an Offer to Allow for a ridiculously low number, citing the five day response time of 1101. I thought of responding with a reasonable offer, but I’m not sure that I can. How do the two statutes interact, if at all? Also, while not admissible in our PI action, would a counter-offer to confess come back and bite me on the behind with the UM coverage?

Answer: The two statutes don’t really interact at all. Section 1101 applies only to shift costs (not attorney fees, unless attorney fees are recoverable as costs in your particular type of action. Also Section 1101 does not allow for a counter-offer with the opportunity to get attorney fees from the other side in the event you get more than the counter-offer, as is provided in Section 1101.1.

I don’t think you are likely to get in trouble over a counter-offer with the UM carrier, but I suppose it is possible. If they were to take you up on your counteroffer, you’re probably stuck with that and can’t then recover against your UM carrier.