Saturday, April 18, 2009

What's a damages cap? How do medical attorneys deal with it?

Some states do not allow medical attorneys or judges to inform the jurors about damages cap. The reason for this rule is to prevent jurors from changing their decision about other compensation for the doctor malpractice victim. This keeps the legal process fair for both you and the doctor.

A damages cap limits the amount of money a jury may award to you in a malpractice case. The damages cap varies by state. Some states do not cap damages at all, claiming that to do so would violate that state's constitution. Indiana caps damages at $500,000, while California caps damages at $250,000. States may put a limit on punitive damages only, or on both punitive damages and any money that compensates you for your injury alone. Putting caps on damages is a hot topic in legal and political circles. The type of cap may vary from state to state, but look for more states to put a cap on damages in the coming years.

If you live in a state that has a $100,000 cap on damages and the jury learns about it, they might decide that you suffered a minor injury. The jury may start with the $100,000 and decide that you deserve only about a quarter of that because your injury was minor. That leaves you with $25,000.

If the jury had not known about the cap, they might have started with a figure of $500,000 and awarded you a quarter of that, which is $125,000. Because of the cap, you would only receive $100,000 of that award, but that would still be much more than the $25,000 you would have gotten if the jury knew of the cap.

On the other hand, it is not fair for the jury to award you a million dollars simply because they think the doctor's insurance will cover it, regardless of whether the doctor actually caused your injury. A sympathetic jury is not always a fair jury. The damages cap may protect the doctor from a jury that is disproportionately sympathetic toward you.

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