Some good year-end news on the scope of punitive damages, a subject that can cause sleepless nights for general counsel.
Former solicitor general Theodore Olson has co-authored an opinion letter for the Washington Legal Foundation about a Kentucky case involving Ford Motor Company that applied the U.S. Supreme Court’s State Farm opinion which limited the territorial reach of conduct that can be considered by a state court in awarding punitive damages.
Also notable is another WLF publication that covers the Michigan Supreme Court’s Phillips v. Mirac decision. In that case, the court upheld Michigan’s tort reform legislation against constitutional attack.
These cases remind the chief legal officer that supporting sensible state-level initiatives that reign in excessive punitive damage awards is important for our clients, since it gives the domestic business economy a level of predictability needed to meet global competition.
Thanks to Pointoflaw.com for the initial coverage of this issue.