What damages are awarded to someone as punishment?

Punitive damages are awarded to punish a defendant for particularly egregious or reckless behavior and to deter similar conduct in the future. Unlike compensatory damages, which aim to reimburse the victim for actual losses, punitive damages go beyond mere compensation and serve a public interest in promoting accountability. These damages are typically awarded in cases involving intentional misconduct, gross negligence, or fraud. The amount is determined by factors such as the severity of the wrongdoing and the financial status of the defendant.