Legal Question in Personal Injury in California

punitive and compensetory damages

I have been approached by insurance Co. of defendant who backed into my van. They want me to drop the punitive damages off the lawsuit, which has not gone to trail yet. They state that they don�t believe that the driver was negligent. I find this a little strange because if they were not concerned about an award there would be no need to have me drop this part of the lawsuit. When I told them I would let the judge decide, they got nasty. I have a permanent injury that has not healed. Did I make the right decision, also how are the compensatory damages awarded.


Asked on 1/12/04, 10:08 pm

4 Answers from Attorneys

Sam Eagle LAW OFFICES OF SAM M. EAGLE

Re: punitive and compensetory damages

In a typical auto/negligence case, you are not allowed punitive damages. You have to show fraud, malice or oppression. That's reserved for intentional/purposeful acts--not accidents. Sooner or later, a judge will throw out that part of your lawsuit. You're limited to special damages (medical bills, wage loss, property) and general damages (pain and suffering). Obviously, if you have on-going problems, your case value may increase but it has to be handled carefully and properly. You might want to hire an atty. If you are in or near Orange County, I'll give you a free consultation. Sam Eagle.714-963-5123

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Answered on 1/14/04, 1:25 pm
Roy Hoffman Law Offices of Roy A. Hoffman

Re: punitive and compensetory damages

Compensatory damages are awarded based upon the costs incurred by you as a result of the accident. Such items include medical bills, x-ray bills, medicine, lost wages, and pain and suffering. There really is no method for computing the amount of money someone should be awarded for their pain and suffering, although several methods are used by attorneys and insurance companies to determine what a reasonable amount might be in any particular case.

As for punitive damages, unless there is more to the story, you probably are not entitled to punitive damages for a simple automobile accident. Punitive damages are generally only available to plaintiffs where the defendant has done something that was intended to injure them, or where the defenant's negligence was so gross that any reasonable person would have known what they were doing either would or reasonably would be expected to injury a particular party. When punitive damages are available, they are awarded based upon the severity of the defendant's conduct, their financial ability to pay, and whether imposition of punitive damages wolud prevent future occurrences of the same type of conduct by the defendant and others. In order to determine what amount of punitive damages a particular plaintiff is entitled to, discovery must be conducted concerning the defendant's finances, which cannot be done until the plaintiff has demonstrated to the court that they are likely to prevail, and be entitled to punitive damages.

I suggest that you contact an attorney in your area who practices in this area of the law for a consultation concerning this matter. Even if you are required to pay for that meeting, it may preserve your rights and cost you less in the long run than attempting to resolve this matter on your own.

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Answered on 1/13/04, 5:01 pm
Edward Hoffman Law Offices of Edward A. Hoffman

Re: punitive and compensetory damages

I have read the reply posted by Roy Hoffman (no relation) and he is correct. I do want to add one point to his analysis.

Even if you woere awarded punitive damages, the insurance company would not have to pay them. It is illegal for insurers to pay a policyholder's punitive damages because such payments would remove the policyholder's financial incentive to behave properly. Your belief that the insurance company is worried that it will have to pay punitives is thus quite mistaken.

As the other Mr. Hoffman stated, it is *very* unlikely that you will be able to get an award of punitives against the driver (let alone the insurer) in this case unless the other driver rammed you intentionally or did something camparably egregious. If you are demanding a settlement amount that includes punitives it is unlikely that you and the insurer will reach an agreement.

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Answered on 1/13/04, 6:23 pm
Armen Tashjian Law Offices of Armen M. Tashjian

Re: punitive and compensetory damages

Punitive damages are not allowed unless defendant's conduct was INTENTIONAL (not merely negligent) or RECKLESS - GROSSLY NEGLEGENT.

But before you get to the damages you must first prove the other elements of negligence (1) duty, (2) breach (3) injury (4) causation. As I understand you are repersenting yourself, you must be very careful. In most cases self representation is also self destructive, which you have to watch out for. I am sure the insurance company has hired experienced lawyer to defend the case and unless you know what you are doing, you may cause serious damage to your case. Please consult a lawyer in your area ASAP or call me for a free consultation (323)782-009. Good luck.

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Answered on 1/15/04, 3:14 am


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