PUNITIVEDAMAGESARTICLE
006
support a ratio of 7:1 or 8:1. Conversely, reprehensible conduct
on the low range of the scale would appear to fairly justify a
punitive damages award in the range of 1:1.
ABOUT THE AUTHOR
DAVID STOUT, JR.
Ultimately, Arellano likely caused the value of punitive
damages claims to increase in Arizona, particularly where the
punitive conduct is rather reprehensible. To limit awardable
punitive damages, the defense should focus on reducing
the impact of the allegedly egregious conduct on the
reprehensibility scale.
Mr. Stout has practiced as an insurance
defense attorney for 9 years and is listed as
one of Southwest’s Rising Stars by Super
Lawyers. He has served on the Board of
Directors for the Arizona Association of
Defense Counsel, Young Lawyers Division,
and is a member of the American Bar
Association. Contact David at 602.263.7384
or [email protected].
JSH RESOURCE ALERT!
USLAW Webinar Recording: Data
Breaches: Insurance Coverage
and Recovery of Costs for Cyber
Liabilities
®
covers topics including:
•
What sort of coverage should be purchased?
•
What are the key coverages that insureds should
insist on when purchasing cyber insurance
coverage?
Data breaches and cyber liability present significant
risks for businesses. The cost of defending and
•
data breaches?
remedying a data breach can be staggering. Target
recently reported more than $235 million in gross
expenses related to its 2013 data breach. Fortunately,
How are courts treating requests for coverage for
•
Potential sources of recovery for data breaches
through indemnification and third-party actions.
Target was able to recover $90 million of that expense
from insurance coverage it purchased to protect itself
Watch the full webinar recording here: http://web.uslaw.
against such exposures.
org/webinars/data-breaches-insurance-coveragerecovery-costs-cyber-liabilities/
Target’s experience is only one of many. A data breach
hacking, and employee theft). Businesses must not
USLAW Releases Updated
Transportation Compendium of Law
only engage in vigorous loss prevention but should
The updated transportation compendium is a survey
be continually evaluating and updating the insurance
of state law on various issues associated with the
protection they have in place to protect against these
derivative negligence claims of negligent entrustment,
potentially catastrophic risks.
hiring, retention and supervision in truck accident cases.
can rear its head in many forms (e.g., laptop loss,
In addition to the transportation compendium of law,
Insurance protection for cyber risks may be available
USLAW publishes Nullum Tempus, Offers of Judgment,
from several types of coverage. Cyber liability policies
Construction, Retail, Spoliation of Evidence, Workers’
are available on the market and can offer a tailored layer
Compensation, and a National Compendium addressing
of protection. These specialized policies are rapidly
issues that arise prior to the commencement of litigation
evolving. Coverage may also be available under more
through trial and on to appeal.
traditional insurance products (e.g., Commercial General
Liability, Directors & Officers, or crime/fidelity policies).
To view or download the updated compendium, click
here: http://www.uslaw.org/files/Compendiums2015/
This discussion, led by experienced insurance counsel
Transportation/2015_USLAW_Transportation_
and a business that has purchased cyber coverage,
Compendium_of_Law.pdf