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Auto News, Analysis and EditorialDaimlerChrysler
Gets Reduction in Punitive Damages for Manufacturing Collapsing Front Seats
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Auto News, Analysis and EditorialDaimlerChrysler
Gets Reduction in Punitive Damages for Manufacturing Collapsing Front Seats
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DaimlerChrysler Gets Reduction in Punitive Damages for Manufacturing Collapsing Front Seats
By James B. Bleeker
After a finding that DaimlerChrysler knowingly built minivan front seats prone to collapse on some or all rear end collisions, a Tennessee jury awarded the parents of a child whose skull was fractured as a result of such collapsing seat $7.5 million for actual damages (wrongful death and emotional distress) and $98 million for punitive damages, the latter to dissuade the company from knowingly manufacturing such seats. The judge decided that $20,000,000 was enough dissuasion and lowered the punitive damage award accordingly. As a general rule, jury-awarded punitive damages exceeding three times actual damages are difficult to hold on to.
Source of information on jury award for collapsing seats: "DaimlerChrysler Punitive Damages Reduced," the Associated Press, June 21, 2005, available at Yahoo! News
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