The Quiet Revolution Revisited: An Empirical Study of the Impact of State Tort Reform of Punitive Damages in Products Liability

Abstract

An empirical examination of U.S. punitive damages awards for personal injury in products liability cases reveals that such awards are rare and, with the exception of asbestos cases, in decline. Decreases in the number of punitive damages awards, the size of the typical verdict, and the percentage of the jury award collected posttrial are correlated with the enactment of state-level tort reforms. In states without tort reform, punitive damages are very difficult to award and collect, suggesting that other mechanisms restrict the remedy in the absence of state legislation. We believe that these awards should not be a serious concern to conscientious American manufacturers and that further tort reform is not likely to have much impact on this already well-controlled remedy.