U.S. Supreme Court to Revisit Punitive Damages Issue

Jan 01, 2006

The U.S. Supreme Court has added Phillip Morris USA v. Mayola Williams to its docket for the Fall, agreeing to review a $79.5 million verdict against the tobacco company for the death of an Oregon smoker. The high court will review the appellate court’s conclusion (1) that a defendant’s conduct was so highly reprehensible and analogous to a crime that it overrode the constitutional requirement that punitive damages be reasonably related to the plaintiff’s harm and (2) whether due process permits a jury to punish a defendant for the effects of its conduct on non-parties. 

The opinion will be the high court’s first punitive damages case involving products liability since State Farm v. Campbell, 538 U.S. 408 (2003).