united-states california punitive-damages
May pre-judgement settlement be considered as compensatory damages for the purposes of punitive damages?
<p>Say Alice is harmed by the bad faith conduct of Bob that results a punitive damages’ multiplier in a suit therefor; however, Bob, post-motion and pre-judgment, offers a settlement for all compensatory damages, and Alice accepts it: Is the compensatory settlement amount accounted in calculating the amount of punitive damages if the factfinder imposes such on Bob to pay Alice after the two agree on a settlement for the compensatory, but not the punitive damages causes of actions?</p>
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<p>A 50-state <a href="https://www.wilsonelser.com/writable/files/Legal_Analysis/Punitive_Damages_Review/2014-wilson-elser-punitive-damages-review.pdf" rel="nofollow noreferrer">comparative analysis</a> gets very close to the question, but still it is unclear whether a pre-judgment settlement would be considered actual damages for purposes of punitive damages:</p>
<blockquote>
<p>&quot;An award of actual damages, either compensatory or nominal,
is a prerequisite for an award of punitive damages. If damages are actually suffered, punitive damages may be awarded in appropriate cases, even if the injured party is only awarded nominal damages. <em>Carr v. Progressive Cas. Ins. Co.</em>, 199 Cal. Rptr. 835 (Cal. Ct. App.1984). See also <em>Cheung v. Daley</em>, 42 Cal. Rptr. 2d 164 (Cal. Ct. App. 1995).&quot;</p>
</blockquote>

<p>A true settlement is a full settlement of all outstanding issues in the case, and if accepted, would moot the availability of punitive damages or any other award by the court.</p>
