Non-economic damages

Definition

Non-economic damages are financial compensations awarded to a plaintiff for intangible losses that cannot be easily quantified, such as pain and suffering, emotional distress, and loss of companionship. These damages are crucial in personal injury cases as they address the personal and psychological impacts of injuries rather than just the financial costs associated with them.

5 Must Know Facts For Your Next Test

1. Non-economic damages are often harder to prove than economic damages because they rely on subjective experiences rather than tangible expenses.
2. Jurisdictions may impose caps on non-economic damages, limiting how much can be awarded to a plaintiff regardless of the severity of their injuries.
3. In many states, factors such as the severity of the injury, duration of suffering, and impact on daily life are considered when calculating non-economic damages.
4. The jury typically has significant discretion in determining the amount awarded for non-economic damages based on the evidence presented during a trial.
5. Insurance companies often challenge claims for non-economic damages, arguing that they should be minimized or eliminated altogether.

Review Questions

• How do non-economic damages differ from economic damages in terms of their nature and how they are assessed?
  • Non-economic damages differ from economic damages in that they compensate for intangible losses rather than concrete financial expenses. While economic damages can be calculated through bills and receipts—like medical expenses or lost wages—non-economic damages are assessed based on subjective factors like pain, suffering, and emotional distress. This makes them harder to quantify, requiring juries to consider personal testimony and expert opinions when determining appropriate compensation.
• Discuss the implications of imposing caps on non-economic damages within a jurisdiction. How might this affect plaintiffs seeking compensation?
  • Imposing caps on non-economic damages can significantly affect plaintiffs seeking compensation for their injuries by limiting the total amount they can recover. Such limits may discourage individuals from pursuing valid claims, especially in severe cases where pain and suffering are substantial but difficult to quantify. This could lead to inequitable outcomes, particularly for those with life-altering injuries who may need more comprehensive support than what is available under capped awards.
• Evaluate how the consideration of non-economic damages impacts the overall strategy in personal injury litigation. What role do these damages play in shaping case outcomes?
  • The consideration of non-economic damages profoundly impacts litigation strategy in personal injury cases, as these damages highlight the personal toll of an injury beyond just financial implications. Attorneys must effectively communicate their client's suffering and loss of quality of life to persuade juries about the true extent of harm endured. This aspect not only influences settlement negotiations but also shapes trial presentations, as jurors' perceptions of emotional distress and personal impact can sway their final award decisions significantly.

Related terms

Compensatory Damages:

Financial compensation awarded to a plaintiff to cover both economic losses, like medical expenses, and non-economic losses, like pain and suffering.

Punitive Damages:

Damages awarded in addition to compensatory damages, intended to punish the defendant for particularly harmful behavior and deter similar actions in the future.

Loss of Consortium: A type of claim for damages arising from the loss of companionship or support due to a partner's injury or death.