Punitive Damages

Damages in a civil case are a remedy for the injuries and harm caused by another party’s wrongful acts. When another party causes your injuries, you can seek compensatory damages. These damages include financial losses (i.e., economic damages) such as medical bills and lost wages. They also include non-economic damages to compensate you for your pain and suffering.

Punitive damages are different. These damages do not compensate the victim for damages, even though the victim receives the money in a personal injury lawsuit.

What Are Punitive Damages in an Alabama Personal Injury Lawsuit?

Punitive damages are awarded in a small number of personal injury lawsuits. They are monetary damages the defendant is ordered to pay the victim. However, punitive damages are not compensatory damages. Instead, they are awarded to:

  • Punish the defendant for reprehensible conduct; AND,
  • To deter the defendant and other parties from repeating the conduct in the future.

Alabama law narrowly defines when jurors may order punitive damages. The jurors must find specific criteria that existed in the case before they can award punitive damages.

When Can Alabama Juries Award Punitive Damages in Personal Injury Cases?

The Code of Alabama §6-11-20 states jurors may award punitive damages in wrongful death cases. They may also award punitive damages when they find clear and convincing evidence that the defendant engaged in conduct regarding the victim that amounted to:

Fraud

The statute defines fraud as the intentional concealment of material fact, deceit, or misrepresentation that is oppressive, gross, or malicious. The defendant intended to deprive the person of legal rights or property causing injury. An intentional act could include assault or battery.

Malice

Malice is defined by the statute as the intentional commission of wrongful acts without excuse or cause that the law will imply an evil intent or with the intent to injure someone or their property. Examples of malice may include stalking, hate crimes, and deliberate destruction of property.

Wantonness

The statute defines wantonness as conduct that is done with a conscious or reckless disregard for the safety or rights of others. Examples of wanton conduct may include knowingly selling defective products, drunk driving, and severe nursing home abuse.

Oppression

The statute defines oppression as subjecting someone to unjust and cruel hardship with a conscious disregard for that person’s rights. An example of oppression may include workplace harassment or police brutality.

You Must Prove Punitive Damages by Clear and Convincing Evidence

Victims in Alabama personal injury cases have the burden of proving the legal elements to establish fault and liability. The burden of proof for most personal injury claims is a preponderance of the evidence.

Proving someone by a preponderance of the evidence means the trier of fact (i.e., the jury or a judge) finds that the evidence proves there is more than a 50% likelihood that the facts presented by the victim are truer. In other words, there is a greater chance that the defendant injured the victim than not.

However, punitive damages require a higher burden of proof. The injured party must prove the defendant acted with malice, oppression, fraud, or wantonness by clear and convincing evidence. The trier of fact must have a firm conviction there is a high probability of the correctness of the conclusion. In other words, the jurors find it is highly likely the defendant acted with wantonness, fraud, malice, or oppression.

What Factors Do Judges or Jurors Consider When Awarding Punitive Damages in an Alabama Personal Injury Case?

When determining whether to award punitive damages and how much to award, jurors and judges consider several factors. Factors include, but are not limited to:

  • Attempts by the defendant to conceal their conduct
  • The extent and nature of the wrongdoing committed by the defendant
  • Profit the defendant received because of the wrongful conduct
  • The impact of the conduct on the victim and other people
  • The defendant’s financial situation
  • Whether the defendant has been punished for the same wrongdoing in other cases
  • The defendant’s awareness of the harm they caused
  • The cost of the lawsuit

Alabama caps punitive damages for personal injury cases. Regardless of the amount the jury awards, punitive damages are capped at three times the compensatory damages or $500,000, whichever amount is greater. The cap may differ if the defendant is a small business worth less than $2 million.

What Is the Deadline to File a Lawsuit for Punitive Damages in Alabama?

The statute of limitations for filing personal injury lawsuits varies depending on the type of claim and other factors. Many personal injury lawsuits have a two-year filing deadline in Alabama.

However, exceptions could change the filing date. Therefore, it is best to talk with a lawyer as soon as possible to avoid losing your right to pursue a claim.

Contact our Belt, Bruner & Barnett Personal Injury Lawyers at (205) 206-5088 today to schedule a free consultation and discuss your case and legal options.