A few years ago we reported on an order by an Indiana trial judge invalidating that state's cap on punitive damages. Under Indiana's rules of appellate procedure, when a trial court declares a statute unconstitutional, the appeal goes directly to the Indiana Supreme Court. The Supreme Court has now reversed the trial court's ruling and upheld the constitutionality of the cap. The concise 9-page opinion holds that the statute (which limits punitive damages to the greater of $50,000 or three times compensatory damages) neither infringes on the right to a jury trial nor violates the separation of powers doctrine.
This decision brings Indiana law into line with what appears to be a growing majority of state supreme courts to address this issue, although some states have gone the other way. (See, e.g., this post about a contrary ruling from the Arkansas Supreme Court.)
For further discussion of the opinion and Indiana punitive damages law in general, see the Hoosier Litigation Blog.
May 28, 2013
Indiana Supreme Court declares punitive damages cap constitutional
Posted by
Curt Cutting
at
3:37 PM
Labels: Legislation