Does Texas have a limit on punitive damages?

Asked by: Dr. Kali Johns DVM  |  Last update: September 17, 2023
Score: 4.6/5 (3 votes)

Punitive damage caps.
In Texas, punitive damages may not exceed more than twice the amount of awarded economic damages plus the awarded non-economic damages (which can't exceed $200,000). Furthermore, punitive damages cannot exceed $750,000, unless the non-economic damages are worth the maximum $200,000.

What is the maximum punitive damages allowed in Texas?

Punitive damages

They will only be awarded if other damages are also awarded. Punitive damages are capped in Texas, as listed in the Texas Statutes here. Punitive damages are capped at the greater of $200,000 or two times the amount of economic damages PLUS the amount equal to non-economic damages up to $750,000.

Why does Texas have a cap on punitive damages?

But why did Texas cap punitive damages in 1987 in the first place? Because the incumbent system was plainly inequitable. A jury in Lubbock might assess a fraction of the punitive damages assessed by a jury in Beaumont for the same event.

Are punitive damages capped?

A typical cap on punitive damages is four times the amount of compensatory damages. Criteria for punitive damages differs from state to state, with some more likely to award punitive damages than others.

Is there a cap on pain and suffering in Texas?

Damage Caps

Whenever the state is the defendant, your total claim is limited to $100,000. Finally, Texas will cap your pain and suffering (and other non-ecomonic) damages at $250,000 for medical malpractice claims and claims against a government entity.

Punitive Damages Under Texas Law - When are they available?

20 related questions found

What is the compensatory cap in Texas?

Overall, you can receive up to $250,000 per defendant or $500,000 per case for bodily injuries and miscellaneous costs. There is a separate $100,000 cap for property damage. Importantly, caps against government defendants apply to non-economic and economic damages.

What is the Texas pain and suffering Multiplier?

The pain and suffering multiplier

In essence, each finding of non-monetary damage is assigned a number between one and five, with one being the least amount of pain and suffering, and five being the maximum. The multiplier is then applied to the economic damages associated with the accident.

What is the average punitive damage award?

Excluding Alabama, punitive damages were awarded in about 14 percent of all financial injury verdicts in these jurisdictions. The average (mean) award ranged from $2.1 million in real property cases to $7.9 million in insurance cases.

What are the limitations on punitive damages?

Punitive damages are usually restricted to an amount which is set by a damages statute in that particular state. For example, a state may limit plaintiffs to recover a treble amount of punitive damages, where another state may allow a plaintiff to collect as much as five times the amount of punitive damages.

What determines the amount of punitive damages?

Punitive damages are not fixed by law. The judge or jury may award at its discretion whatever sum is believed necessary to redress the wrong or deter like conduct in the future. Litigation lawyers can help you seek punitive damages if the situation warrants it.

Are punitive damages taxable in Texas?

Punitive damages are always taxable. Punitive damages are those damages awarded to the plaintiff as a punishment to the defendant. These kinds of damages are usually awarded separately from compensatory damages. This makes it easy to separate what is taxable and what is non-taxable.

How much can you sue for emotional distress in Texas?

Each person's emotional suffering after an accident is unique. Texas laws do not provide a standard formula for calculating the value of an emotional distress claim. It is left to the parties to agree to the value for an emotional distress claim or the jurors in a personal injury lawsuit.

What are the mental anguish damages in Texas?

Typically you must have a physical injury to collect mental anguish damages. Texas allows recovery of mental anguish without physical injury ONLY in the following circumstances: 1) bystander cases; 2) intentional tort – child abduction; 3) defamation; 4) invasion of privacy; 5) telegraph co.

What is the largest punitive damages ever?

5 of the Largest Personal Injury Verdicts Ever
  • $150 Billion in Burning Case. ...
  • $145 Billion in Landmark Tobacco Case. ...
  • $28 Billion for Los Angeles Smoker. ...
  • $4.9 Billion in Auto Defect Case. ...
  • $2.2 Billion in Diluted Cancer Drug Case.

What are the elements of punitive damages in Texas?

In Texas, the standard to prove punitive damages in a personal injury case requires the Plaintiff to show by clear and convincing evidence that the harm that caused the Plaintiff's injury resulted from fraud, malice, or gross negligence.

How much can you ask for punitive damages?

California law does not place a cap on the amount of punitive damages that can be awarded in a lawsuit.

What is the most money awarded in a lawsuit?

This lawsuit resulted in a record-breaking settlement of $206 billion, paid by major tobacco companies to 46 US states to cover public health-care costs related to tobacco-induced illnesses. It remains the most substantial legal settlement to date as of 2023.

Why are punitive damages so high?

Financial loss is an effective means to prevent repeat offenses from the defendant, but unless they are of exemplary scales others won't really take notice. This is why punitive damages can be ten times as much as the initial damages awarded.

Can punitive damages be more than compensatory damages?

In many cases, punitive damages are higher than compensatory damages. That's because compensatory damages are intended to compensate the victim, and often, they're compensating the victim for tangible losses (such as medical bills and lost wages).

What states do not allow punitive damages?

In many states, claimants must meet a higher burden of proof to succeed on a punitive damage claim, offering clear and convincing evidence that a defendant's conduct justifies such an award. Punitive damages are not available in every state. Michigan3, Nebraska4 and Washington5 do not allow punitive damage awards.

What is exemplary punitive damages?

Exemplary damages, better known as punitive damages, refer to extra damages awarded beyond that actually incurred by the plaintiff.

What is a monetary award that is set high enough to punish the defendant?

Punitive damages are an established practice of American common law, traditionally assessed against defendants in civil cases to punish past misconduct and to deter future misconduct. But because they have become more frequent in recent verdicts, they have received increased attention.

What are special damages in Texas?

Special Damages are one of two forms of compensatory damages in Texas personal injury cases. Special Damages compensate for out-of-pocket losses such as: Past and future medical expenses. Loss of income, but current and future.

How do you prove pain and suffering in Texas?

Medical evidence: Nothing is more objective for a jury than to hear your treating medical professionals describe exactly what's happened to you and how the injuries have caused pain and suffering. For example, if your back is in severe pain, the doctor can show precisely why it is.

Is pain and suffering taxable in Texas?

Any damages that are meant to compensate the claimant for missed work, medical bills, emotional distress, pain and suffering, loss of consortium, and attorney fees are not taxable as long as they come from a personal injury or a physical sickness.