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by ubernostrum
3624 days ago
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There is a school of thought that punitive fines should be a proportion of company value/earnings rather than an absolute dollar figure to exact an equal amount of discomfort. In the infamous McDonald's coffee lawsuit, this was actually the motivation behind the initial large damage award. The jury attempted to award punitive damages equal to two days' worth of McDonald's coffee revenue. (obligatory note here for the many people who have heard false information about that case: the coffee spilled in a car, yes, but the car was motionless, in a parking space, and the person who spilled it was not the driver, and was found partially at fault for the spill; she suffered severe burns requiring hospitalization and skin grafts, which is not generally what one expects from coffee; it was found McDonald's served its coffee significantly hotter than other chains, in a temperature range making burns more likely, and was aware of the fact that it could cause severe burns because this wasn't the first case, and in fact McDonald's was aware of hundreds of cases of burns resulting from its coffee; the initial damage award was significantly reduced by the judge; search for Liebeck v. McDonald's for more details) |
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I feel like this school of thought is also the one that ends up with things like "3 strikes and you're 25-to-life"