What can a party expect from accepting a formal offer of judgment?

When a party accepts a formal offer of judgment, one significant benefit they can expect is a possible reduction in legal fees. This occurs because, under New York law, the acceptance of a formal offer can shift the responsibility for certain costs and legal fees. Specifically, if the offer is accepted and the amount awarded in judgment does not exceed the offer, the accepting party may be able to recover less in legal fees compared to pursuing the matter through a full trial. Therefore, by accepting the offer, the party can avoid additional litigation costs and further legal expenses associated with continuing the case.

The other choices present scenarios that do not typically align with the implications of accepting a formal offer of judgment. For instance, immediate payment of damages may not occur until the judgment is sated or the settlement is agreed upon. An extension of the trial date is generally unlikely as accepting the offer would typically lead to concluding the matter, not delaying it. Court appearances may be necessary in certain circumstances, but a formal acceptance usually aims to resolve the issue without further legal proceedings.