In: Operations Management
18. Punitive damages are defined as damages that are awarded to punish the Defendant, to deter the Defendant from similar conduct in the future, and set an example for others
True or
False
Ans : True
Punitive damages: It is awarded to punish the defendant and others from conduct just like the conduct that gave rise to the lawsuit, and to penalize the suspect. They're usually awarded to line a public example. Punitive damages area unit awarded occasionally, however, they will be applicable in several things wherever damages would be inadequate to true as a result of the suspect acted in an exceedingly really obvious fashion. Some states have enacted a split-recovery statute during which a little of the punitive damages award goes to the state, not the litigant. Generally, exemplary damages area unit in way over demonstrable injuries. They're sometimes solely awarded in cases brought below civil wrong law, like personal injury or medical malpractice cases, instead of those brought due to a written agreement dispute. However, in some cases, exemplary damages area unit awarded in insurance dangerous religion cases that arise below associate insurance. This is often as a result of in thus me instances the insurer's breach of contract is so wrongful that it breaches the in explicit covenant of fine religion and honest dealing, a tort.
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