Punitive Damages.

Ala. Code tit. 6, ch. 11, art. 2

in effect

Ala. Code § 6-11-20 Punitive Damages Not to Be Awarded Other Than Where Clear and Convincing Evidence Proven; Definitions.

6-11-20. Punitive Damages Not to Be Awarded Other Than Where Clear and Convincing Evidence Proven; Definitions. (a) Punitive damages may not be awarded in any civil action, except civil actions for wrongful death pursuant to Sections 6-5-391 and 6-5-410, other than in a tort action where it is proven by clear and convincing evidence that the defendant consciously or deliberately engaged in oppression, fraud, wantonness, or malice with regard to the plaintiff. Nothing contained in this article is to be construed as creating any claim for punitive damages which is not now present under the law of the State of Alabama. (b) As used in this article, the following definitions shall apply: (1) FRAUD. An intentional misrepresentation, deceit, or concealment of a material fact the concealing party had a duty to disclose, which was gross, oppressive, or malicious and committed with the intention on the part of the defendant of thereby depriving a person or entity of property or legal rights or otherwise causing injury. (2) MALICE. The intentional doing of a wrongful act without just cause or excuse, either: a. With an intent to injure the person or property of another person or entity, or b. Under such circumstances that the law will imply an evil intent. (3) WANTONNESS. Conduct which is carried on with a reckless or conscious disregard of the rights or safety of others. (4) CLEAR AND CONVINCING EVIDENCE. Evidence that, when weighed against evidence in opposition, will produce in the mind of the trier of fact a firm conviction as to each essential element of the claim and a high probability as to the correctness of the conclusion. Proof by clear and convincing evidence requires a level of proof greater than a preponderance of the evidence or the substantial weight of the evidence, but less than beyond a reasonable doubt. (5) OPPRESSION. Subjecting a person to cruel and unjust hardship in conscious disregard of that person’s rights. (Acts 1987, No. 87-185, p. 251, §1.)

Ala. Code § 6-11-21 Punitive Damages Not to Exceed Certain Limits.

6-11-21. Punitive Damages Not to Exceed Certain Limits. (a) Except as provided in subsections (b), (d), and (j), in all civil actions where an entitlement to punitive damages shall have been established under applicable laws, no award of punitive damages shall exceed three times the compensatory damages of the party claiming punitive damages or five hundred thousand dollars ($500,000), whichever is greater. (b) Except as provided in subsections (d) and (j), in all civil actions where entitlement to punitive damages shall have been established under applicable law against a defendant who is a small business, no award of punitive damages shall exceed fifty thousand dollars ($50,000) or 10 percent of the business’ net worth, whichever is greater. (c) “Small business” for purposes of this section means a business having a net worth of two million dollars ($2,000,000) or less at the time of the occurrence made the basis of the suit. (d) Except as provided in subsection (j), in all civil actions for physical injury wherein entitlement to punitive damages shall have been established under applicable laws, no award of punitive damages shall exceed three times the compensatory damages of the party claiming punitive damages or one million five hundred thousand dollars ($1,500,000), whichever is greater. (e) Except as provided in Section 6-11-27, no defendant shall be liable for any punitive damages unless that defendant has been expressly found by the trier of fact to have engaged in conduct, as defined in Section 6-11-20, warranting punitive damages, and such defendant shall be liable only for punitive damages commensurate with that defendant’s own conduct. (f) As to all the fixed sums for punitive damage limitations set out herein in subsections (a), (b), and (d), those sums shall be adjusted as of January 1, 2003, and as of January 1 at three-year intervals thereafter, at an annual rate in accordance with the Consumer Price Index rate. (g) The jury may neither be instructed nor informed as to the provisions of this section. (h) This section shall not apply to class actions. (i) Nothing herein shall be construed as creating a right to an award of punitive damages or to limit the duty of the court, or the appellate courts, to scrutinize all punitive damage awards, ensure that all punitive damage awards comply with applicable procedural, evidentiary, and constitutional requirements, and to order remittitur where appropriate. (j) This section shall not apply to actions for wrongful death or for intentional infliction of physical injury. (k) “Physical injury” for purposes of this section, means actual injury to the body of the claimant proximately caused by the act complained of and does not include physical symptoms of the mental anguish or emotional distress for which recovery is sought when such symptoms are caused by, rather than the cause of, the pain, distress, or other mental suffering. (l) No portion of a punitive damage award shall be allocated to the state or any agency or department of the state. (Acts 1987, No. 87-185, p. 251, §2; Act 99-358, p. 563, §1.)

Ala. Code § 6-11-22 Grounds for Mistrial If Limitations Mentioned in Presence of Jury

6-11-22. Grounds for Mistrial If Limitations Mentioned in Presence of Jury Argument or mention, in the presence of the jury, of the classifications or limitations established in Section 6-11-21 is not permissible and shall be ground for a mistrial. (Acts 1987, No. 87-185, p. 251, §3.)

Ala. Code § 6-11-23 No Presumption of Correctness; Court to Conduct Hearings; Admissible Relevant Evidence; Trial Court to Independently Reassess Award of Punitive Damages.

6-11-23. No Presumption of Correctness; Court to Conduct Hearings; Admissible Relevant Evidence; Trial Court to Independently Reassess Award of Punitive Damages. (a) No presumption of correctness shall apply as to the amount of punitive damages awarded by the trier of the fact. (b) In all cases wherein a verdict for punitive damages is awarded, the trial court shall, upon motion of any party, either conduct hearings or receive additional evidence, or both, concerning the amount of punitive damages. Any relevant evidence, including but not limited to the economic impact of the verdict on the defendant or the plaintiff, the amount of compensatory damages awarded, whether or not the defendant has been guilty of the same or similar acts in the past, the nature and the extent of any effort the defendant made to remedy the wrong and the opportunity or lack of opportunity the plaintiff gave the defendant to remedy the wrong complained of shall be admissible; however, such information shall not be subject to discovery, unless otherwise discoverable, until after a verdict for punitive damages has been rendered. After such post verdict hearing the trial court shall independently (without any presumption that the award of punitive damages is correct) reassess the nature, extent, and economic impact of such an award of punitive damages, and reduce or increase the award if appropriate in light of all the evidence. (Acts 1987, No. 87-185, p. 251, §4.)

Ala. Code § 6-11-24 No Presumption of Correctness to Apply to Damages on Appeal.

6-11-24. No Presumption of Correctness to Apply to Damages on Appeal. (a) On appeal, no presumption of correctness shall apply to the amount of punitive damages awarded. (b) The appellate court shall independently reassess the nature, extent and economic impact of such an award and reduce or increase the award if appropriate in light of all the evidence. (Acts 1987, No. 87-185, p. 251, §5.)

Ala. Code § 6-11-25 Ability of Court to Set Aside Damages Not Limited.

6-11-25. Ability of Court to Set Aside Damages Not Limited. Nothing in this article is intended to limit the ability of a trial or appellate court to set aside or reverse an award of punitive damages, or to order a new trial. (Acts 1987, No. 87-185, p. 251, §6.)

Ala. Code § 6-11-26 No Punitive Damages Awarded Against State or Agency Thereof.

6-11-26. No Punitive Damages Awarded Against State or Agency Thereof. Punitive damages may not be awarded against the State of Alabama or any county or municipality thereof, or any agency thereof, except any entity covered under the Medical Liability Act now codified as Section 6-5-480 et seq., or any acts amendatory thereto. (Acts 1987, No. 87-185, p. 251, §7.)

Ala. Code § 6-11-27 Principal, Master, Etc., Not Liable for Punitive Damages for Conduct of Agent, Servant, Etc.; Exceptions.

6-11-27. Principal, Master, Etc., Not Liable for Punitive Damages for Conduct of Agent, Servant, Etc.; Exceptions. (a) A principal, employer, or other master shall not be liable for punitive damages for intentional wrongful conduct or conduct involving malice based upon acts or omissions of an agent, employee, or servant of said principal, employer, or master unless the principal, employer, or master either: (i) knew or should have known of the unfitness of the agent, employee, or servant, and employed him or continued to employ him, or used his services without proper instruction with a disregard of the rights or safety of others; or (ii) authorized the wrongful conduct; or (iii) ratified the wrongful conduct; or unless the acts of the agent, servant, or employee were calculated to or did benefit the principal, employer, or other master, except where the plaintiff knowingly participated with the agent, servant, or employee to commit fraud or wrongful conduct with full knowledge of the import of his act. (b) Nothing contained in this section shall be construed to prevent recovery of punitive damages against a retail vendor of alcoholic beverages arising out of the acts of its agents, servants, or employees acting within the line and scope of their employment. (Acts 1987, No. 87-185, p. 251, §8.)

Ala. Code § 6-11-28 No Cause of Action Created.

6-11-28. No Cause of Action Created. Nothing contained in this article shall be construed to grant or create a cause of action or right to recover punitive damages. (Acts 1987, No. 87-185, p. 251, §9.)

Ala. Code § 6-11-29 Wrongful Death Actions Not Affected.

6-11-29. Wrongful Death Actions Not Affected. This article shall not pertain to or affect any civil actions for wrongful death pursuant to Sections 6-5-391 and 6-5-410, as amended. (Acts 1987, No. 87-185, p. 251, §10.)

Ala. Code § 6-11-30 Effective Date.

6-11-30. Effective Date. This article shall not affect the rights of any person if such rights accrued prior to June 11, 1987. (Acts 1987, No. 87-185, p. 251, §12.)

Source: Alabama Legislature (alison.legislature.state.al.us)URL: https://alison.legislature.state.al.us/code-of-alabamaFetched: 10/20/2026