ContractsProf Blog

Editor: Myanna Dellinger
University of South Dakota School of Law

Tuesday, December 28, 2004

California allows punitive damages for warranty breach

California_flag_2 Punitive damages for breach of contract will apparently be available in California as a result of last week's decision by the state's supreme court.  In a 6-1 decision, the court reinstated a punitive award of $6 million (on top of a $1.5 million breach of warranty award) against a helicopter parts supplier.

The supplier, Dana Corp., delivered a batch of clutches to Robinson Helicopter, about 9 percent of which were defective.  Robinson claimed that the defects were due to a chance in Dana's manufacturing process, about which it did not tell Robinson.   Robinson suffered $1.5 million in actual damages from recalls, but the $6 million in punitives, said the court, were to protect "innocent parties" from "fraudulent conduct."

https://lawprofessors.typepad.com/contractsprof_blog/2004/12/california_allo.html

Recent Cases | Permalink

TrackBack URL for this entry:

https://www.typepad.com/services/trackback/6a00d8341bfae553ef00d83541be7a69e2

Listed below are links to weblogs that reference California allows punitive damages for warranty breach:

Comments

Post a comment

If you do not complete your comment within 15 minutes, it will be lost. For longer comments, you may want to draft them in Word or another program and then copy them into this comment box.