Punitive Damages in Personal Injury Lawsuits

Punitive damages, sometimes known as exemplary damages, are extra money awarded in civil lawsuits. Unlike compensatory damages, which account for losses like medical bills, lost wages, and pain and suffering, punitive damages are meant to punish a defendant for very bad behavior and to stop them and others from doing the same thing again. For example, if a driver repeatedly drives drunk and causes a serious crash, punitive damages might be awarded to punish the driver for persisting in making very dangerous choices.

Understanding the Purpose

Punitive damages focus on the defendant's actions, rather than just the plaintiff's injuries. Courts might award them when a defendant's conduct shows extreme recklessness, intent to harm, or a clear disregard for the safety of others. These damages are most common in personal injury lawsuits, such as those involving drunk driving, dangerous products, or very serious medical mistakes. The goal is to send a strong message that particularly harmful behavior will not be tolerated.

Standard of Proof

In many states, if you want to receive punitive damages, you must prove your case more strongly than usual. Instead of just showing that something is "more likely than not," you may need to provide "clear and convincing evidence" that the defendant acted with an intent to harm or with a clear disregard for your safety. This higher standard makes pursuing punitive damages more difficult than seeking regular compensatory damages. Courts look for a pattern of harmful actions or a specific instance of conduct that goes far beyond ordinary carelessness.

Real-World Examples

Imagine that a drunk driver with multiple prior offenses causes a severe accident. A court might award punitive damages if the driver's history of drunk driving shows a willful disregard for public safety. In another scenario, if a toy company knew that their toy contained lead and sold it anyway, they might face punitive damages in a product liability lawsuit for knowingly selling a dangerous product. In both cases, the injured person would still receive compensatory damages for their harm, while the punitive award punishes and deters such dangerous actions.

Proportionality and Constitutional Considerations

Punitive damages can be much higher than compensatory damages if the defendant's actions justify a large penalty. However, courts often review the ratio between the two to ensure that it's fair under the U.S. Constitution. The Supreme Court has stated that an award that's extremely disproportionate to the actual harm may violate due process. While many judges and juries prefer a low single-digit ratio, very extreme cases of misconduct might justify a higher ratio. Each award depends on the specific facts of the case and the seriousness of the defendant's conduct.

Last reviewed March 2025