Punitive Damages in South Carolina

State-specific overview · Contract Law

Quick summary

South Carolina allows punitive damages for gross negligence or willful or wanton conduct, with a statutory cap of three times compensatory damages or $500,000.

How South Carolina treats Punitive Damages

South Carolina permits punitive damages when the defendant acts with gross negligence, willfulness, or wantonness—conduct showing a reckless disregard for the rights of others. The plaintiff must prove the defendant's culpable mental state by clear and convincing evidence. South Carolina law caps punitive damages at three times the amount of compensatory damages awarded or $500,000, whichever is greater. This cap applies in most civil cases and represents one of the more restrictive punitive damages regimes in the country.

The general definition of Punitive Damages

Extra money awarded to punish wrongful conduct and deter future misconduct.

Punitive damages go beyond compensating you for your actual loss; they're meant to punish the other party for especially bad behavior and discourage similar conduct in the future. These are rare in contract cases and more common in situations involving fraud, gross negligence, or intentional harm. The amount can be much larger than your actual damages because the goal is deterrence, not just making you whole.

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This page is a plain-English reference and is not legal advice. State laws change frequently. For specific situations consult a licensed attorney in South Carolina.