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No. Punitive damages are strictly that--punitive, designed to punish and make an example of the defendant to deter future similar bad conduct. Conversely, liquidated damages are set damages (i.e. per day, hour, whatever increment of time) as a penalty for non-performance. Perfect example would be a contractor who promises to finish building a house by January 30th and the contract says for each day past January 30th, the homeowner shall be entitled to liquidated damages in the amount of $100.
What else can I help you with?
Examples of punitive damages?
Punitive damages is also a type of Monetary remedy which is designed to punish the defendant for behavior that shocks the conscience of the finder of fact. Punitive damages are meant to serve as a deterrent. Unlike most compensatory damages for civil suits, the purpose of punitive damages is not to make the plaintiff whole, but to punish the defendant. Punitive damages are not awarded in every civil case and most states have strict rules and limitations on when punitive damages will be allowed.
What are the different types of damages that a court may award to an aggrieved party?
The different types of damages that a court may award to an aggrieved party include compensatory damages (to cover actual losses), punitive damages (to punish the wrongdoer), nominal damages (symbolic award when no actual loss occurred), and liquidated damages (specified in a contract).
Is punitive damage taxable in New York city?
Whether or not punitive damages are taxable in New York City depends on the type of punitive damages. A punitive damage lawyer would be able to give you the specifics on the tax laws and punitive damages awards.
How does one get compensation for liquidated damages?
In order to receive compensation for liquidated damages, a person would have to hire an attorney and go to court. If the damages or losses were proven, the person could be compensated for them.
Loss of profit is not an example of liquidated damages?
NO
Are liquidated damages clauses enforcible under Arizona law?
A liquidated damages clause is usually enforceable under Arizona law, depending on the type of contract involved. For example, Arizona code section 10-2016 allows such damages in a marketing contract. In general, liquidated damages are allowed where damages are hard to predict and quantify.
Does liability insurance cover punitive damages?
The best source of information would be your insurance agent. Not all policies are the same. But generally you can have coverage for punitive damages if you select the option when you purchased your policy. The cheaper the policy, typically the less the coverage.
What is the purpose in awarding punitive damages?
Where as compensatory damages are intended to recompense the injured party for their losses, punitive damages are meant to punish those who they are applied against. Further, punitive damages are also known as exemplary damages. Aside from its intent to punish the defendant for his willful of malicious misconduct, this is also awarded to make an example of the defendant's wrong actions so as to discourage other persons or companies from committing the same offense.
Are punitive damages taxable?
Yes
What is the meaning of liquidated damage as an insurance term?
Liquidated damages refers to an amount of money designated and agreed to in advance for damages, before any loss takes place, so that the actual damages need not be calculated.
What type of damages are rarely awarded in negligence cases?
Punitive Damages
What is the difference between punitive and compensatory damages in a legal context?
Punitive damages are meant to punish the defendant for their actions, while compensatory damages are meant to compensate the plaintiff for their losses.
