Are Punitive Damages Available In Arizona Car Accident Cases?

After a car accident, it is normal to wonder what type of compensation might be available. You may have heard in the news of cases where a large sum of money was awarded after a personal injury lawsuit, most of which was due to punitive damages. For example, in 2024, $230 million in compensatory damages and $5 billion in punitive damages were awarded in neighboring Nevada after a product liability case against a bottled water company.

What about in Arizona car accident cases? Are punitive damages available? The short answer is yes, in exceptional circumstances. You need a reputable, experienced law firm to help you win punitive damages if they are possible in your case. Contact Big Auto Accident Attorneys today at 1-844-BIG-AUTO to learn more about your rights after an Arizona car accident.

In this article, we will take a closer look at punitive damages and Arizona laws governing how and when these damages may be awarded.

Punitive Damages vs. Compensatory Damages

Car accident victims suffer many losses and are entitled to financial compensation for their injuries. While nothing can erase what happened, compensatory damages are meant to make up for what was lost as a result of the accident. These losses can be economic, such as medical bills and lost wages, or they can be non-economic, such as pain and suffering and a loss of quality of life. 

Since these are meant to replace what was lost, the accident victim must prove how much has been lost already due to the accident and what losses he or she will likely suffer in the future. This might include future medical treatment or loss of earning capacity in the months or years to come. 

Both compensatory and punitive damages are paid to the plaintiff or victim. However, unlike compensatory damages, punitive damages are meant to punish the defendant instead of compensating the plaintiff. 

Thus, these are awarded in special cases. Punitive damages serve as a deterrent to reduce the risk of someone else acting the same way in the future.

Punitive Damages Laws in Arizona

Each state has different laws that dictate when punitive damages are possible, what evidence is required to warrant punitive damages, and how much may be awarded. 

When punitive damages are available in Arizona

Since the 1980s, punitive damages could be awarded in Arizona if there was evidence of an “evil mind” and “outrageous conduct.” In the following years, there was confusion as to whether both an evil mind and outrageous conduct were necessary and how an evil mind could be determined. 

However, in 2022, after a fatal car accident case involving Swift trucking, the Arizona Supreme Court clarified the rules regarding punitive damages. 

In order to claim punitive damages, it must be established that the defendant acted with an evil mind. 

This means that his or her actions were:

• Intended to cause harm,
• Motivated by spite, or;
• Outrageous, creating a substantial risk of tremendous harm to others

Most car accidents are the result of negligence and are not intentional or motivated by spite. In these negligence cases, it is necessary to prove that the defendant’s actions were outrageous in order to recover punitive damages. 

If you believe that your Arizona car accident case may qualify for punitive damages, contact our law firm for a free case evaluation. These cases can be difficult and complex; the guidance of an experienced, trustworthy attorney will be crucial in your case.

Evidence required for punitive damages in Arizona

In a criminal case, there is a high burden of proof. A person must be found guilty “beyond a reasonable doubt.”

In personal injury cases, the burden of proof is lower. A person must be found liable based on the “preponderance of evidence.” 

For punitive damages, the burden of proof is in the middle: “clear and convincing” evidence must be offered to show that the defendant acted with an evil mind. This means that there was a conscious and deliberate disregard for the safety of others. Not only did the defendant know the risks, but he or she intentionally or consciously disregarded them. 

Some cases where punitive damages may be available include:

• Impaired driving
• Road rage incidents
• Street racing or other dangerous behavior

A lawyer may also be able to offer additional evidence to establish a pattern of conduct to strengthen the case. 

Punitive damage caps in Arizona

In many states, such as neighboring Nevada and Colorado, there are limits on the amount of punitive damages that can be awarded. However, Arizona does not have any caps on cases for which punitive damages are allowed. This means that the jury is able to award any amount that is appropriate under the circumstances.

When deciding the amount of punitive damages to award, the jury will consider the egregiousness of the defendant’s behavior. Another factor to consider is the financial standing of the defendant. Since punitive damages are meant to both punish and deter the same behavior, the amount must be significant enough to have a sufficient impact. 

In cases where the defendant is a company with large resources, punitive damages can be in the millions or billions of dollars. Although there is no cap for punitive damages in Arizona, amounts that greatly exceed the amount of compensatory damages may be appealed and overturned.

Who Can Be Found Liable for Punitive Damages in Arizona Car Accident Cases? 

In car accident cases, the liable party isn’t always the other driver. At times, it can be another private entity that caused or contributed to the accident. For example, the car manufacturer can be held liable due to insufficient safety testing, faulty parts, or other dangerous practices. 

If the courts determine that the manufacturer intentionally hid defects or knowingly sold a product that was unsafe, especially after receiving warnings, punitive damages may be awarded.

Another party that may be found liable for punitive damages in a car accident case is the insurance company. The insurance company is under a legal obligation to uphold the terms of its policy with clients. However, many insurance companies act in “bad faith,” meaning they don’t deal with the policyholder fairly and honestly. 

This might include denying legitimate claims, lying to or misleading their clients, or purposefully delaying a claim. Bad faith actions by insurance companies can be punished through punitive damages.

Although punitive damages may be available against private entities, public entities and public employees acting within the scope of their employment are immune and cannot be held liable for punitive damages. 

Contact Big Auto Accident Attorneys After Your Arizona Car Accident

If you or a loved one has been injured in a car accident, you deserve full compensation. If the accident was due to someone’s intentional or outrageous actions, the person responsible should be held accountable, and you may be entitled to additional compensation through punitive damages. 

At Big Auto Accident Attorneys, we don’t just fight for our clients, we get results. Our national team of top car accident lawyers works tirelessly to recover the maximum compensation our clients deserve. 

Contact us today to schedule your free case evaluation. Get the Big Auto team on your side by filling out our online form or calling 24/7 at 1 (844) BIG-AUTO. Remember, if we don’t win, your case is free.