Supreme Court Punitive Damages Ruling Threatens Accountability for Corporate Misconduct
The Supreme Court has set limits on punitive damages in cases like the Exxon Valdez oil spill. Punitive damages are meant to punish bad behavior, but the Court says they must be reasonable. A new study says punitive damages should be given even if the behavior wasn't extremely bad, to make up for when a defendant avoided paying for harm they caused. However, giving too much in punitive damages can lead to prices going up.