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Punitive Damages

 
 
gollum
 
Reply Sun 7 Dec, 2008 05:49 pm
If a Court finds that a plaintiff suffered $x in costs, it can order the defendant to pay $x in compensatory damages.

The Court can also order the defendant to pay punitive damages -- an additional sum to teach it a lesson and to put others who might do a similar thing, not to do it.

The punitive damages are generally paid to the plaintiff -- though the plaintiff has already been compensated and suffered no additional loss.

My question is, could the Court award the punitive damages to another party -- perhaps a charity so that the funds could be shared by people who have been injured in some way?
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Type: Question • Score: 4 • Views: 715 • Replies: 4
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cicerone imposter
 
  -1  
Reply Sun 7 Dec, 2008 06:15 pm
Of coarse!@
jespah
 
  2  
Reply Mon 8 Dec, 2008 05:15 am
@cicerone imposter,
Uh, no.

Actually punitive damages can occur either via the court or a jury. In Insider Trading cases, the penalty is treble damages. Not exactly punitives but definitely not compensatory.

The $$ is awarded to the plaintiff who may dispose of it as desired. Whether that's to save the children or fly to Aruba is the plaintiff's business and not the court's. The court does not have control over this $$ and cannot direct the expenditure (or saving, or destruction, or making it into origami cranes if the plaintiff so desires) thereof.
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squinney
 
  1  
Reply Mon 8 Dec, 2008 05:52 am
I was under the impression that punitive damages went to the state. A quick search indicates that Utah statutes do apportion the first $50,000 to the Plaintiff and then splits the remainder between the Plaintiff and the State. Further, the State is given certain rights cor collection as a debtor for their portion. I have no inclination to search other state laws but seem to remember from my paralegal training that in NC punitive damages go to the State. That may have changed over the past 20 years.

How the State chooses to spend any punitive damages received would have to be spelled out in Statutes, not decided by individual courts within the state I would think.

Does Federal Court ever order punitive damages? Was the tobacco / RJ Reynolds case an example of this with part of the court decision ordering that they had to do $XXXXX in educating and advertising about the harm of tobacco?
jespah
 
  1  
Reply Mon 8 Dec, 2008 03:25 pm
@squinney,
You may be right on punitives going to the state (I answered early in the day, sorry). I know Fed. Ct. can award punitives.
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