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Payne v. Wallace8/14/2001 ney fees under Rule 54(e)(1) incurred before service of the offer of judgment" in computing the adjusted award applies only if attorney fees have been granted. The very term "adjusted award" implies that it includes only sums that have actually been awarded to the offeree. We have upheld the district court's denial of the Paynes' request for attorney fees under Rule 54(e)(1). Therefore, the district court properly held that no amount for attorney fees should be included in calculating the Paynes' adjusted award for purposes of Rule 68(b).
Because the Paynes' adjusted award, computed in compliance with Rule 68(b), was less than Wallace's offer of judgment, the district court correctly awarded to Wallace his costs that were incurred after the offer was made.
III. CONCLUSION
The Paynes have shown no error in the district court's grant of a directed verdict on Stacie's claim for intentional infliction of emotional distress, its denial of their request to present a claim for punitive damages, its denial of an award of attorney fees to the Paynes, or its application of I.R.C.P. 68. Therefore, the judgment of the district court is affirmed.
Chief Judge SCHWARTZMAN and Judge PERRY CONCUR.
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