Punitive Damages are awarded to punish the wrongdoer, not to compensate the injured party. Awarded where a wrongdoer intended to actually harm, or where wrongdoer was reckless or intentionally indifferent to the rights others.
- Example : Tim continued to manufacture trampolines for 3 years after he discovered they were defective and dangerous to consumers. Robbie was using one of these trampolines and injured himself as a result of the defective condition. Tim may be ordered to pay punitive damages in a products liability action.
