At any time more than ten [10] days before the trial begins, a party defending against a claim may serve upon the adverse party an offer to allow judgment to be taken against him for the money or property or to the effect specified in his offer, with costs then accrued. If within ten [10] days after the service of the offer the adverse party serves written notice that the offer is accepted, either party may then file the offer and notice of acceptance together with proof of service thereof and thereupon the clerk shall enter judgment. An offer not accepted shall be deemed withdrawn and evidence thereof is not admissible except in a proceeding to determ- ine costs. If the judgment finally obtained by the offeree is not more favorable than the offer, the offeree must pay the costs incurred after the making of the offer. The fact that an offer is made but not accepted does not preclude a subsequent offer. When liability of one party to another has been partially determined by verdict or order of judgment, but the amount or extent of liability remains to be determined by further proceedings, the party adjudged liable may make an offer of judgment, which shall have the same effect as an offer made before trial if it is served within a reasonable time not less than ten [10] days prior to the com- mencement of hearings to determine the amount or extent of liability.
Rule 68.Offer of judgment
Current through July 1, 2026 · Last verified July 13, 2026
In one sentenceTrial Rule 68 lets a party defending against a claim offer to let judgment be entered against it before trial, and if the other side turns down that offer but later wins a less favorable judgment, that party must pay the costs incurred after the offer was made.
Full Text of Rule 68
Amendment History
This rule’s current text took effect January 1, 1970. For the full history of earlier amendments and adoption orders, see the Indiana Office of Court Services.
Plain-English Summary
Trial Rule 68 gives a defending party a way to cut off a case early by offering to let judgment be entered against it, on whatever terms — a dollar amount, specific property, or some other stated relief — plus the costs that have accrued so far. The offer has to go out more than ten days before trial starts. The other side then has ten days from service to accept, by serving written notice of acceptance; once that happens, either side can file the offer, the acceptance, and proof of service, and the clerk enters judgment without further steps.
If the offer isn’t accepted within that ten-day window, it’s treated as withdrawn, and neither side can bring it up later — except in a fight over costs. That’s where the rule’s teeth are: if the party who rejected the offer goes on to win a judgment that is not more favorable than what was offered, that party has to pay the costs the other side incurred after making the offer. By its own terms, the rule compares the judgment the rejecting party “finally obtains” against the earlier offer — language that assumes the rejecting party does recover something, just less than what was on the table, rather than losing outright. Rejecting one offer doesn’t use up the chance; a defending party can make another offer later in the case.
The rule also reaches cases tried in stages. Once a court has decided that one party is liable but still needs to work out how much, or how far that liability extends, the liable party can make an offer of judgment covering that remaining piece of the case — served a reasonable time before the damages hearing, but never less than ten days ahead. Indiana’s ten-day windows are shorter than the fourteen days the current federal offer-of-judgment rule requires, giving Indiana litigants less runway to weigh or accept an offer. And as with cost awards elsewhere in Indiana civil practice, the “costs” at stake here are ordinary litigation costs — not attorney’s fees, unless the offer itself addresses fees.
Frequently Asked Questions
Who can make an offer of judgment under Trial Rule 68?
Any party defending against a claim, not only a defendant in the traditional sense. The rule speaks broadly of “a party defending against a claim,” so it covers anyone on the receiving end of a claim who wants to offer to let judgment be entered against them on stated terms.
How much time do I have to accept an offer of judgment in Indiana?
Ten days from service of the offer. Trial Rule 68 requires the offer to be served more than ten days before trial begins, and the party who received it then has ten days to serve written notice accepting it. Once both are filed with proof of service, the clerk enters judgment.
What happens if I don’t accept an offer of judgment?
The offer is treated as withdrawn, and it can’t be used as evidence later — except in a later dispute over costs. Turning down one offer doesn’t stop the other side from making another offer as the case moves forward.
What is the penalty for rejecting an offer of judgment and then doing worse at trial?
The party who rejected the offer has to pay the costs the offering party incurred after the offer was made, if the judgment that party finally obtains is not more favorable than what was offered. This shifts the financial risk of continuing to litigate onto the side that turned down a reasonable offer.
Does “costs” under Trial Rule 68 include attorney’s fees?
Generally not. As with cost awards elsewhere in Indiana civil practice, the costs recoverable under this rule are the standard litigation costs, not attorney’s fees, unless the offer itself specifically addresses fees.
Can an offer of judgment be made after a court has already decided liability but before damages are set?
Yes. Once liability has been partially determined but the amount or extent of liability still needs to be worked out, the party found liable can make an offer of judgment covering that remaining phase of the case. It must be served a reasonable time before the damages hearing begins, and never less than ten days ahead of it.
How does Indiana’s offer-of-judgment deadline compare to the federal rule?
Indiana gives the parties ten days to serve and to accept an offer of judgment. The current federal offer-of-judgment rule requires fourteen days at each of those steps, so Indiana’s timeline moves faster.
Source & verification. The rule text is reproduced verbatim from the
official Indiana Rules of Trial Procedure (T.R. 68). Prescribed by the Supreme Court of Indiana, under its inherent constitutional rulemaking power (reaffirmed by Ind. Code 34-8-1-1 and 34-8-2-1); originally enacted by the Indiana General Assembly in 1969. The plain-English summary is original and written by us. Last verified July 13, 2026. ·
Official source
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