What is the difference between compensatory and punitive damages quizlet?
Compensatory damages are intended to compensate the injured for the loss. When a tort is intentional, punitive damages may also be awarded to punish the person who committed the tort.
What are punitive damages?
Punitive damages are money awards that are ordered with a view to punishing the defendant for the high-handed way in which the defendant acted. Punitive damages are sometimes referred to as exemplary damages.
What is the difference between actual and punitive damages?
punitive damages are the two main types of damages awarded in civil court cases. While courts grant actual damages to plaintiffs to compensate them for a loss they have suffered, they impose punitive damages on a defendant to discourage the behavior that led to the defendant being sued in the first place.
What are compensatory damages also known as?
Compensatory damages (also known as actual damages) damages recoverable in a lawsuit for loss of injury suffered by the plaintiff as a result of the defendant’s conduct.
What is the purpose of compensatory damages?
Compensatory damages, like the name suggests, are intended to compensate the injured party for loss or injury. Punitive damages are awarded to punish a wrongdoer.
What is a compensatory damage?
11.11 Where a plaintiff has suffered physical or psychological injury, compensatory damages may include special and general damages to remedy economic loss suffered by a plaintiff, as well as general damages for non-economic loss. Damages for non-pecuniary loss recognise the pain and suffering caused by the injury.
What are compensatory damages quizlet?
compensatory damages. Money awarded to a plaintiff to compensate for damages, injury, or another incurred loss.
What are the 3 types of compensatory damages?
The three types of damages are economic damages, non-economic damages, and punitive damages.
Are compensatory damages actual damages?
Compensatory damages represent the money awarded to a plaintiff in a lawsuit. Actual damages are intended to provide funds to only replace what was lost. General compensatory damages awarded are more complex, as these compensatory damages do not represent a monetary expenditure.
How are punitive damages determined?
To determine the amount of punitive damages to award, the Book of Approved Jury Instructions (BAJI) states that the jury should consider: (1) The reprehensibility of the conduct of the defendant. The other two–defendant’s financial condition and the relationship to actual damages–are objective measurements.
Is compensation and damages same?
Damages is a form of compensation. Compensation is a broader concept which encompasses, for example, money awarded under statutory schemes. On the other hand, damages are usually ordered by the court in actions for breach of contract or in tort (that is, a wrong or breach of duty).
What is considered punitive damages?
What are Punitive Damages. Punitive damages, also known as “exemplary damages,” are a monetary amount awarded to a plaintiff in a civil lawsuit for the purpose of punishing the defendant, or to deter him from engaging in the same conduct in the future.
Are compensatory damages considered taxable income?
Taxpayers who receive compensatory damage awards or settlements may have to pay income taxes on their earnings. The general tax rule for compensatory awards is that they are taxable as income unless specifically excluded by the Internal Revenue Code.
What are non compensatory damages?
Definition of Non-Compensatory Damages. Non-Compensatory Damages means any and all damages awarded by a court of competent jurisdiction that are penal in nature, including, without limitation, punitive, punitory, exemplary, vindictive, imaginary or presumptive damages.
What are some examples of actual damages?
Important Components of Actual Damages. Compensatory damages, or damages that are payable, should be measurable and can be proven. A few examples of payable actual damages include: Loss of income. Medical expenses. Property repairs. Business losses. Legal fees.