Type of compensation should not be confused

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Question: Punitive Damages2 Often, the losses incurred by the injured party forms the basis for awarding damages provided in the personal injury lawsuits. These awarded damages serve as compensation to the injured victim, the plaintiff, for the damages incurred due to the defendant's actions. This type of compensation should not be confused with punitive damages, which are technically designed to punish wrongdoers due to their dangerous conducts, to deter them and others from committing similar offenses. Award of punitive damages is a rare occurrence in New Jersey due to their respective requirements, which in most cases are not easily met. To institute this form of punishment, the defendant should have been found to have committed an outstandingly risky action.

Reference no: EM133537346

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