Under QOCS, when a defendant is awarded costs against a claimant, those costs can only be enforced up to the amount of what?

• A. The damages awarded to the claimant and any interest.
• B. The defendant's costs in full.
• C. A fixed cap unrelated to damages.
• D. The claimant's costs only.

Answer: (A)

Under Qualified One-Way Costs Shifting, if a defendant is awarded costs against a claimant, those costs can be recovered only up to the amount of the damages awarded to the claimant plus any interest on those damages. This cap ensures the claimant’s recovery isn’t eroded by costs beyond what they were actually compensated for. In other words, the defendant can’t claim more in costs than the claimant received in damages (including interest). If the damages awarded are zero, the defendant typically cannot recover costs, subject to any specific exceptions.