What is the cap on punitive damages in Nevada?

In Nevada, punitive damages serve to punish the wrongdoer and deter similar conduct in the future. The law indeed establishes a cap on punitive damages which is articulated as the greater of $300,000 or three times the amount of compensatory damages awarded to the plaintiff.

This framework ensures that punitive damages are proportionate to the actual harm suffered, while also setting a limit to avoid excessively punitive outcomes that might be seen as overly harsh or unjust. This balance aims to uphold the purpose of punitive damages without allowing them to overwhelm the compensatory aspect of a verdict.

Understanding this cap is crucial for parties involved in litigation as it influences settlement negotiations and trial strategies. It also helps courts in applying the law by providing a clear guideline on the upper limit for punitive damages awarded in tort cases.