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Sweet v. Roy

4/26/2002

U.S. at 574-75. All of these factors support the jury's award of punitive damages in this case.


The most important factor is the reprehensibility of defendants' conduct. On this point, defendants minimize Leon Roy's conduct to the point that it is unrecognizable. Looking at the self-help eviction actions in isolation, Leon's actions in smashing all of plaintiff's windows and cutting off her power are marked by violence or a threat of violence and demonstrate an indifference or reckless disregard for the health and safety of others. See id. at 576-77. Although the harm he inflicted was primarily emotional and economic, there was a serious threat that the acts would cause physical harm, especially to plaintiff's three-year-old daughter.


The central point of this case, however, is that Leon's actions against plaintiff should not be viewed in isolation. Plaintiff showed that Leon Roy engaged in a pattern of unlawful self-help eviction actions against residents in the park. She demonstrated that these actions were part of an illegal scheme to gain ownership of all homes in the park at unreasonably low prices. She showed that defendants had been enjoined from such conduct in the past, but it continued. She even showed that smaller amounts of punitive damages had been awarded against defendants, but the awards had not deterred the illegal conduct. We find that defendants' conduct was particularly reprehensible and warranted a large punitive damage award.


To the extent that we need consider the ratio between the compensatory damages award and punitive damages award, we conclude that the ratio of 10 to 1 is reasonable in this case. Indeed, courts have routinely upheld much greater ratios applying the Gore standards. See, e.g., Walston v. Monumental Life Ins. Co., 923 P.2d 456, 467-68 (Idaho 1996); Schaffer v. Edward D. Jones & Co., 552 N.W.2d 801, 815-17 (S.D. 1996). In Harris v. Soley, 756 A.2d at 509, the Maine Supreme Court recently upheld a punitive damage award sixteen times that of the compensatory award for landlord's "intolerable" conduct toward tenants. The purpose of punitive damages is to deter misconduct, and thus, courts can consider "the possible harm to other victims" that might result if similar behavior is not deterred. TXO Prod. Corp. v. Alliance Res. Corp., 509 U.S. 443, 460 (1993) (upholding punitive damages award over 400 times greater than the compensatory damage award). Obviously, the jury here faced a strong need to fashion a punitive damage award that would deter defendants' ongoing illegal conduct and scheme and prevent further harm to park residents. In addressing this need, it had compelling evidence that a smaller punitive damage award, levied in 1986, had not deterred the misconduct.


The possible sanctions available for like conduct also weigh in favor of upholding the jury's punitive damages award. Any person who fails to comply with the Act or conditions, restrictions or limitations contained in a permit faces a fine of up to $1000, or imprisonment for up to six months, or both. 10 V.S.A. § 6205(a). The Act authorizes the State to revoke a park owner's permit to operate. Id. § 6233(c). Furthermore, it is not inconceivable that defendants' conduct could subject them to other criminal penalties. See, e.g., 13 V.S.A. §§ 3701 (unlawful mischief), 1025 (recklessly endangering another person).


Defendants' argument fares no better under our standards on the reasonableness of punitive damage awards. We overturn a punitive damage award only if it is "manifestly and grossly excessive." Crump v. P&C;Food Markets, Inc., 154 Vt. 284, 298, 576 A.2d 441, 450 (1990) (internal quotations omitted). Not only do we defer to the discretion of the

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