Practice Quiz

Paralegal

Category - Legal System

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The term “punitive damages” refers to ______________.
  1. Damages that allow the plaintiff to recover the fees and costs incurred in pursuing the claim.
  2. Damages that did not result directly from the breach or injurious act.
  3. Damages that allow the plaintiff to recover an amount roughly equal to the loss sustained.
  4. Damages intended to punish the party in breach or who acted wrongfully.
Explanation
Answer: D - Damages intended to punish the party in breach or who acted wrongfully. Punitive damages are awarded in addition to compensatory damages if a defendant’s conduct was outrageous or reckless. Black’s Law Dictionary 170, 171 (2d Pocket Ed. 2001).
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