Excessive award of punitive damages


Incidence

In 1994, a federal jury in Alaska, USA awarded punitive damages against Exxon of $5 billion for the spectacular oil spill in Alaska's Prince William Sound in 1989. This is in addition to payment of $286 million in compensatory damages to 10,000 fishermen, of $2.9 billion on environmental cleanup, and $1 billion in settlements of various federal and state claims.

Claim

  1. Punitive damages need stern legislative review. The quest for punitive damages has become a trial lawyers' blood sport presenting tempting opportunities to raid someone else's purse.


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