What is the purpose of punitive damages?

Punitive damages are primarily intended to serve as a deterrent against future wrongful conduct. Unlike compensatory damages, which aim to reimburse victims for their actual losses or injuries, punitive damages go beyond mere compensation. They are designed to punish the offender for particularly egregious or reprehensible behavior that the court seeks to deter. The rationale is that by imposing a financial penalty that exceeds the actual damages suffered, the legal system sends a clear message that such conduct is unacceptable and must be avoided in the future. This helps promote accountability and encourages individuals and organizations to adhere to lawful behavior.

The other options focus on different aspects of legal compensation and confidentiality but do not capture the intent behind punitive damages, which is centered on prevention and punishment rather than reimbursement or emotional support.