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Bill to broaden punitive-damages standard draws sharp debate over deterrence and cost
Summary
HB 906 would lower Maryland's punitive‑damages threshold and introduce a state surcharge or split on punitive awards. Proponents said the change would punish corporate recklessness; insurers, hospitals and businesses warned of unpredictable awards and higher costs for consumers and public services.
Delegate Moon proposed HB 906 to make punitive damages available when a plaintiff proves gross negligence or wanton, reckless disregard by clear and convincing evidence, rather than Maryland's current "actual malice" standard.
"Punitive damages are intended to punish quasi criminal behavior," Delegate Moon said, arguing the current standard leaves some dangerous corporate or operational conduct unpunished. Proponents, including trial lawyers and…
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