What are Punitive Damages?

What are Punitive Damages?When it comes to injuries from car accidents and other negligence-related claims, courts allow the person or people who are not more at fault to recover damages. The most common damages are “compensatory.” Compensatory damages cover losses like medical expenses, lost wages, and pain and suffering. However, it is sometimes possible for the injured person to recover an additional type of damages: punitive damages. These only apply in cases where the person or entity that caused the injuries behaved in a way that the court deems particularly egregious. Punitive damages aren’t about compensation; they are about punishment for the wrongdoer.

Courts use punitive damages as a financial penalty that serves to deter future similar conduct from the defendant and others. If the person who caused your injuries or who injured your loved one behaved intentionally, recklessly, or was grossly negligent, you might be able to seek punitive damages.

How and when can you recover punitive damages?

Recovering punitive damages is not as straightforward as obtaining compensatory damages. Punitive damages are only available in cases where the defendant’s actions were especially harmful or malicious. The burden of proof for punitive damages is significantly higher than for compensatory damages. Here are several factors that the court may consider when determining whether to award punitive damages:

Egregious conduct

Under Ohio law, a person is negligent if they exhibit “a substantial lapse from due care” that causes them to “fail to perceive or avoid a risk.” Courts reserve punitive damages for cases that involve conduct that goes beyond ordinary negligence. This means that the defendant’s actions must have been particularly outrageous, reckless, or intentional. Here in Ohio, punitive damages may be awarded if the defendant acted with malice or demonstrated a conscious disregard for the rights and safety of others.

For example, if a company knowingly sells a defective product that poses a serious risk to consumers, and someone is injured as a result, that company may be subject to punitive damages. Similarly, if a driver engages in reckless behavior, such as driving under the influence of alcohol or drugs, and causes a serious accident, a court may award the injured person punitive damages in addition to compensatory damages.

Convincing evidence

Recovering punitive damages also comes with a higher burden of proof. The standard is “clear and convincing evidence” that the defendant’s actions meet the required type of conduct. Recovering compensatory damages only requires that you demonstrate by a “preponderance of the evidence” that the person was negligent. A preponderance of the evidence essentially requires that the court finds the evidence more probable than not. Clear and convincing evidence must make it highly probable that the defendant engaged in the conduct in question and that the conduct was sufficiently egregious to warrant punitive damages. The highest standard is “beyond a reasonable doubt,” which applies in criminal cases, making clear and convincing the middle standard.

The defendant’s financial condition

Courts may also consider the defendant’s financial condition when determining punitive damages. The purpose of these damages is to deter future misconduct, so the amount must be significant enough to have an impact but not so excessive that it causes financial devastation. An amount that would devastate some defendants might not be burdensome enough to impact particularly wealthy defendants.

Ohio’s caps on punitive damages

In Ohio, punitive damages are subject to statutory caps designed to prevent excessive awards that could harm defendants financially or encourage frivolous lawsuits. The amount of punitive damages is capped based on the amount of compensatory damages awarded.

Two times compensatory damages

Under Ohio law, punitive damages cannot exceed two times the amount of compensatory damages awarded to the plaintiff. For example, if you are awarded $100,000 in compensatory damages, the maximum amount of punitive damages you could receive would be $200,000.

$350,000 cap

Ohio law also imposes a cap of $350,000 on punitive damages. This means that even if double the compensatory damages would exceed $350,000, you could still only be awarded up to $350,000 in punitive damages.

It’s important to note that these caps apply per defendant, not per case, so if there are multiple defendants in the case, each one may be subject to separate punitive damages awards up to the cap.

Why understanding punitive damages matters

Punitive damages can significantly increase the amount of compensation you receive, especially in cases where the defendant’s conduct was particularly egregious. However, because punitive damages are not guaranteed and are subject to strict legal standards, it’s important to work with an experienced Columbus personal injury attorney. At Soroka & Associates, our dedicated lawyers are ready to review your case.

If you believe that you may be entitled to punitive damages in your case, it’s important to act quickly. Ohio has a two-year statute of limitations for personal injury claims, and the sooner you begin the legal process, the better your chances of securing a favorable outcome. Let us help you hold those responsible accountable and secure the justice you need to move forward. Call the experienced personal injury team at Soroka & Associates, LLC or submit our contact form to schedule a free consultation. We happily serve clients throughout Central Ohio.