What type of damages are intended to punish a defendant and deter future misconduct?

Punitive damages are specifically designed to punish a defendant for particularly harmful behavior and to deter both the defendant and others from engaging in similar conduct in the future. Unlike other types of damages that primarily aim to compensate the injured party for their losses, punitive damages go beyond mere compensation. They serve a broader purpose of promoting social responsibility and accountability by imposing financial penalties on a defendant whose actions are deemed excessively reckless or intentionally harmful.

These damages are typically awarded in cases involving egregious misconduct, such as fraud, malicious behavior, or gross negligence. The rationale behind punitive damages is that the consequences should not only rectify the harm done to the injured party but also dissuade the wrongdoer and others from repeating the behavior. This deterrent effect is an essential aspect of the legal system's approach to maintaining societal norms and encouraging acceptable conduct.