What Are Punitive Damages and Can You Claim Them in Louisiana?

If someone else’s actions caused serious harm—whether it’s a drunk driver, an abusive partner, or a corporation acting in bad faith—you may wonder if you’re entitled to more than just repayment for medical bills or property damage. In some cases, Louisiana law allows what’s called punitive damages, also known as exemplary damages—a monetary award meant not just to compensate you, but to punish the wrongdoer and send a message.

But here’s the catch: in Louisiana, punitive damages are the exception, not the rule. While other states give juries more leeway to penalize outrageous conduct, Louisiana law generally does not allow punitive damages unless a specific statute says otherwise.

This guide breaks down what punitive damages are, when they can be awarded in Louisiana, and how they differ from regular compensation in personal injury cases. If you’re trying to determine whether your case qualifies—or if you just want to understand how the law works here—read on.

What Are Punitive Damages?

Punitive damages are financial penalties imposed by a court, paid by the defendant in addition to compensatory damages like lost wages or medical expenses. The goal isn’t just to cover the victim’s losses—it’s to punish the defendant for conduct that goes beyond negligence and enters the realm of intentional harm or reckless disregard.

These damages are designed to deter future misconduct, both from the defendant and others who might be tempted to act the same way. In civil cases, especially personal injury lawsuits, punitive damages are a way for the court to send a message: this kind of behavior won’t be tolerated.

In most states, punitive damages can be awarded in a wide range of cases. But in Louisiana, they’re only allowed under limited circumstances, and only when specific statutes make an exception to the general rule.

What Are Exemplary Damages?

Exemplary damages is simply another term for punitive damages. Under Louisiana law, the two terms are used interchangeably. While some court opinions or statutes use “punitive,” others—like Louisiana Civil Code Article 2315.4—refer to “exemplary damages.” Either way, the concept is the same: a monetary award designed to punish the defendant’s conduct, not just compensate the plaintiff.

Think of exemplary damages as a legal way to “make an example” of someone. The point isn’t to overpay the victim—it’s to discourage others from making the same choices that led to harm in the first place.

General Rule in Louisiana: No Punitive Damages Unless Authorized by Statute

In most civil cases in Louisiana, punitive damages are off the table. The general rule is simple: you cannot be awarded punitive or exemplary damages unless a specific Louisiana statute allows it. This is in sharp contrast to many other states, where courts have more flexibility to impose punitive awards based on the nature of the defendant’s conduct.

The reason? Louisiana law is structured to favor compensation over punishment. In this state, the legal system focuses on making the plaintiff “whole” by awarding compensatory damages—things like medical expenses, lost wages, property damage, and other direct costs related to your injury.

Unless your case falls under one of the few narrow exceptions, you won’t be able to claim a punitive award, no matter how reckless or outrageous the defendant’s behavior was.

When Are Exemplary (Punitive) Damages Available in Louisiana?

While rare, exemplary damages (aka punitive damages) can be awarded in Louisiana—but only in specific situations outlined by state law. Below are the four primary statutes that allow for these types of monetary awards, along with the legal requirements for each.

Drunk Driving Cases – La. C.C. art. 2315.4

If you’re injured by a drunk driver, you may be eligible for punitive damages under Louisiana Civil Code Article 2315.4:

“In addition to general and special damages, exemplary damages may be awarded, if it is proved that the injuries on which the action is based were caused by a defendant whose conduct was wanton or reckless and who was found to be operating a motor vehicle while intoxicated.”

To succeed, the plaintiff must show:

• The defendant was driving under the influence (DWI),

• Their conduct showed reckless disregard for safety,

• The injury was directly caused by the intoxication.

This provision is often applied in auto wrecks or pedestrian injury cases where the defendant’s behavior went beyond simple negligence.

Criminal Sexual Acts with Minors – La. C.C. art. 2315.7

Louisiana also allows punitive damages in cases involving certain sexual crimes against minors:

“In addition to general and special damages, exemplary damages may be awarded upon proof that the injuries on which the action is based were caused by a wanton and reckless disregard for the rights and safety of the person through criminal sexual activity which occurred when the victim was seventeen years old or younger, regardless of whether the defendant was prosecuted for his or her acts.  The provisions of this Article shall be applicable only to the perpetrator of the criminal sexual activity.”

If a child is harmed and the defendant is convicted of specific sex offenses, the court may impose exemplary damages in addition to other civil compensation.

Domestic Violence Injuries – La. C.C. art. 2315.8

Victims of domestic abuse may also claim exemplary damages in certain situations:

“In addition to general and special damages, exemplary damages may be awarded upon proof that the injuries on which the action is based were caused by a wanton and reckless disregard for the rights and safety of a family or household member, as defined in R.S. 46:2132, through acts of domestic abuse resulting in serious bodily injury or severe emotional and mental distress, regardless of whether the defendant was prosecuted for his or her acts.”

To qualify, the defendant must be convicted, or there must be overwhelming evidence—such as a guilty plea. This applies in personal injury cases tied to physical harm from a current or former partner.

Purpose and Calculation of Punitive Damages

Unlike compensatory damages, which are meant to reimburse you for actual damages like lost wages, medical expenses, or property damage, punitive damages serve an entirely different goal: punishment and deterrence.

When a court orders a punitive award, it’s not just paying you back for what you lost. It’s sending a clear message that the defendant’s conduct was so outrageous, reckless, or malicious that it deserves additional financial consequences. The point isn’t to make the plaintiff rich—it’s to prevent future harm by making an example out of the wrongdoer.

In personal injury cases, this is especially important when the behavior involved shows a reckless disregard for safety or public welfare—think drunk driving, abuse, or intentional harm.

How Are Punitive Damages Calculated?

There’s no fixed formula for awarding punitive damages, but courts consider several key factors when deciding the amount:

• The nature of the defendant’s misconduct: Was the act intentional, fraudulent, or done with full knowledge of the risk?

• The level of harm caused: Did the plaintiff suffer severe injuries, like third-degree burns, emotional trauma, or lasting disability?

• The defendant’s financial status: Courts may review the defendant’s gross income, assets, and overall ability to pay. A larger company may face a higher monetary award than an individual.

• Whether this is a repeat offense: If the defendant has a history of similar actions, the court may increase the amount to make sure the lesson sticks.

• Good faith efforts: If the defendant tried to fix the problem or acted responsibly after the incident, that may reduce the punitive award.

Punitive damages are always awarded in addition to compensatory damages. That means if you’re already receiving payment for your medical bills, lost wages, or litigation costs, a punitive award would come on top of that—assuming your case qualifies under state law.

Important Note: Tax Implications

If punitive damages are awarded, there’s a good chance you’ll owe taxes on the amount. According to the Internal Revenue Service (IRS), most punitive awards are considered taxable income, and you’ll likely need to report them on your tax return during the appropriate tax year.

The only exception applies to certain wrongful death claims, where the state statute allows only punitive damages. If you're unsure, it’s smart to speak with a tax professional.

Awarding Punitive Damages

• Punitive damages are awarded in addition to compensatory damages to punish defendants for outrageous conduct.

• The court must consider the degree to which the defendant’s actions were negligent, malicious, or intentional.

• Punitive damages are often awarded in personal injury cases, such as medical malpractice or product liability cases.

Factors That Influence Punitive Damages

Punitive damages aren’t automatic. Even when allowed under Louisiana law, courts consider a range of factors before awarding them—and the amount can vary widely depending on the facts of the case.

Here are some of the most common things a judge or jury will look at when determining whether punitive damages should be awarded, and if so, how much:

1. The severity of harm caused

If the plaintiff suffered significant physical injuries—like third degree burns, brain trauma, or permanent disability—the court may be more likely to award punitive damages. Emotional distress, especially in cases involving abuse or criminal acts, may also influence the size of the monetary award.

2. The nature of the defendant’s conduct

Punitive damages are meant to punish defendants for more than just carelessness. The court looks for conduct that shows a reckless disregard for safety or intentional harm. For example, deliberately ignoring safety warnings or committing a violent act may lead to a higher punitive award.

3. The defendant’s financial condition

A defendant’s gross income and overall financial position play a role. The idea is that a wealthy corporation may need to pay more for the punishment to have the same impact as it would on an individual with fewer resources. Courts often consider the ability to pay when deciding the amount.

4. Past behavior

If the defendant has a history of similar misconduct—especially in employer liability or product liability cases—the court may decide that a stronger penalty is needed to stop the pattern. Repeat violations make punitive damages more likely.

5. Efforts to fix the problem

If the defendant took action to reduce harm, made a good faith attempt to compensate the victim, or changed their policies after the incident, those efforts can reduce the likelihood or amount of a punitive award.

6. Jury perception and available evidence

In civil cases, the jury has a major say in awarding punitive damages. The quality of evidence presented—especially around intent, prior misconduct, or the impact on the victim—can sway the outcome significantly.

While compensatory damages aim to make the plaintiff whole, punitive damages exist to send a message. That message depends not just on the injury, but on whether the defendant’s behavior deserves punishment beyond regular compensation.

Seeking Punitive Damages

If you’ve been hurt due to someone else’s outrageous conduct, you might wonder whether punitive damages are on the table. In personal injury cases, especially those involving drunk driving, abuse, or corporate negligence, these types of damages may be available—but only in limited situations allowed by Louisiana law.

To even get close to a punitive award, you’ll need strong evidence. This often includes proof of a criminal conviction, reckless behavior, or intentional harm. Since punitive damages are meant to punish—not just compensate—the bar is higher than for standard compensatory damages like medical expenses or lost wages.

That’s why working with a personal injury attorney is key. A good legal team can help you:

• Gather the right documentation and witness testimony

• Establish that the defendant’s conduct meets the legal threshold

• Maximize your monetary award by seeking both actual damages and punitive ones, when applicable

If your case qualifies, punitive damages can offer meaningful compensation beyond what insurance might cover—and they can send a message that this kind of harm won’t be tolerated.

Tax Implications of Punitive Damages

Here’s something many people don’t realize until it’s too late: if punitive damages are awarded in your case, the money may be considered taxable income. According to the Internal Revenue Service (IRS), most punitive awards must be reported on your tax return, even if they came from a personal injury case.

The IRS is clear on this point:

"Punitive damages are not excludable from gross income, with one exception. The exception applies to damages awarded for wrongful death, where under state law, the state statute provides only for punitive damages in wrongful death claims." — Tax implications of settlements and judgments

Unless your award falls under this narrow exception—such as a wrongful death case where state law provides only for punitive damages—you’ll likely owe taxes. That includes any amount intended to punish the defendant, even if your injuries were severe.

To avoid surprises during tax season, speak with a tax specialist. They can guide you through what portion of your monetary award must be reported and help you calculate any potential tax owed.

Remember: even though the goal of punitive damages is to punish the defendant, the IRS still treats that money as income for the plaintiff. Failing to report it properly could trigger penalties down the line.

When Accountability Matters Most

In Louisiana, punitive damages aren’t available in most personal injury cases, but when they are, they send a powerful message. They exist not just to help you recover, but to hold the other party accountable in a way that compensatory damages alone can’t.

At Burnham Law Firm, we understand how personal injury cases affect every part of your life—your health, your finances, your future. If you believe your injury was caused by more than a careless mistake—if it was the result of reckless or intentional conduct—your case deserves a closer look.

Not every injury leads to a punitive award. But when the facts support it, we believe in pursuing every available option under our laws to help our clients find real accountability.

Because sometimes, compensation isn't enough—justice demands consequences.