What type of damages may be awarded by the court to discourage undesirable behavior?

Punitive damages are awarded by the court primarily to deter the defendant and others from engaging in similar conduct in the future. Unlike compensatory damages, which are intended to compensate the victim for losses incurred, punitive damages go a step further. They are imposed when a defendant's behavior is found to be particularly egregious or reckless, serving the dual purpose of punishment and deterrent.

In cases where a defendant’s actions demonstrate a blatant disregard for the rights of others or are malicious in intent, the court may impose punitive damages as a way to signal that such behavior will not be tolerated. This serves not only the interests of the individual victim but also serves the public interest by discouraging similar misconduct from others in society.

Compensatory damages address losses suffered, nominal damages are awarded when a legal wrong has occurred but no substantial harm was done, and liquidated damages are predetermined amounts stated in a contract for specific breaches. These options do not focus on discouraging undesirable behavior in the way punitive damages do.