Which type of damages is awarded to punish the wrongdoer and deter future misconduct?

Punitive damages are specifically designed to punish the wrongdoer for particularly harmful behavior and to serve as a deterrent to prevent similar misconduct in the future. These damages go beyond simply compensating the victim for their losses, which is the primary purpose of compensatory damages. By imposing punitive damages, the legal system aims to signal that certain actions are unacceptable and to discourage others from engaging in similar behaviors.

Unlike compensatory damages, which focus on making the injured party whole, or nominal damages, which recognize a legal wrong without substantial loss, punitive damages are awarded in cases where the defendant's conduct is found to be especially egregious or malicious. Statutory damages are set by law for specific violations and don’t necessarily serve the purpose of deterring further misconduct in the same way punitive damages do. Thus, the primary function of punitive damages highlights the broader principles of accountability and societal deterrence.