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THE DECISION TO AWARD PUNITIVE DAMAGES: AN EMPIRICAL STUDY
ABSTRACT
Empirical studies have consistently shown that punitive damages are rarely
awarded, with rates of about 3 to 5 percent of plaintiff trial wins. Using the 2005
data from the Bureau of Justice Statistics Civil Justice Survey, this article shows
that knowing in which cases plaintiffs sought punitive damages transforms the picture
of punitive damages. Not accounting for whether punitive damages were
sought obscures the meaningful punitive damages rate, the rate of awards in
cases in which they were sought, by a factor of nearly 10, and obfuscates a more
explicable pattern of awards than has been reported. Punitive damages were surprisingly
infrequently sought, with requests found in about 10 percent of tried cases
that plaintiffs won. State laws restricting access to punitive damages were significantly
associated with rates of seeking punitive damages. Punitive damages were
awarded in about 30 percent of the plaintiff trial wins in which they were sought.
Awards were most frequent in cases of intentional tort, with a punitive award
rate of over 60 percent. Greater harm corresponded to a greater probability of
an award: the size of the compensatory award was significantly associated with
whether punitive damages were awarded, with a rate of approximately 60 percent
for cases with compensatory awards of $1 million or more. Regression models correctly
classify about 70 percent or more of the punitive award request outcomes.
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