N.J. Justices Narrow Use Of Damages As Deterrent

Law360, New York (March 28, 2008, 12:00 AM EDT) -- Punitive damages should be used to deter and punish the wrongdoer in a specific case and not as a general deterrent against the misconduct of others, the New Jersey Supreme Court ruled Thursday, overturning a jury award in a sexual harassment case.

A New Jersey superior court overstepped the mark in holding that general deterrence could be considered during deliberations by a jury that awarded $85,000 in punitive damages against Mack Auto Mall Inc., the supreme court said.

The justices did rule, however, that in assessing...
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