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Olson v. Walker6/27/1989
arded a substantial risk of harm to Olson or others.
Although an award of punitive damages should be upheld if there is any reasonable evidence to support it, an award may be reversed when the punitive damages issue has been submitted to the jury on slight and inconclusive evidence. Filasky v. Preferred Risk Mutual Ins. Co., 152 Ariz. 591, 599, 734 P.2d 76, 84 (1987). To properly analyze Walker's argument, we must examine the punitive damages standard that has evolved in recent years and then determine whether there was more than slight or inconclusive evidence to warrant an award.
A. Punitive Damages Standard
Punitive damages are awarded primarily to punish the wrongdoer and deter others from similar conduct. Linthicum v. Nationwide Life Ins. Co., 150 Ariz. 326, 330, 723 P.2d 675, 679 (1986). The award of punitive damages is limited to situations where these objectives can be furthered. Gurule v. Illinois Mutual Life and Casualty Co., 152 Ariz. 600, 601, 734 P.2d 85, 86 (1987). Punitive damages are therefore awarded only where the defendant's wrongful conduct is the result of an "evil mind," something more than the mere commission of a tort. Linthicum, 150 Ariz. at 330, 723 P.2d at 679. Accordingly, the primary inquiry is based on the wrongdoer's state of mind or attitude. Id. An evil mind is found where the defendant intended to injure the plaintiff, or where the defendant, not intending to cause injury, "consciously pursued a course of conduct knowing that it created a substantial risk of significant harm to others." Rawlings v. Apodaca, 151 Ariz. 149, 162, 726 P.2d 565, 578 (1986). An evil mind can be inferred when the defendant's conduct is so outrageous or egregious that it can be assumed he intended to injure or that he consciously disregarded the substantial risk of harm created by his conduct. Gurule, 152 Ariz. at 602, 734 P.2d at 87; Rawlings, 151 Ariz. at 162-63, 726 P.2d at 578-79.
The Arizona Supreme Court first announced the standard described above in insurance bad-faith cases. See Rawlings; Linthicum. The court correspondingly imposed a more stringent standard of proof, thereby allowing the recovery of punitive damages only upon clear and convincing evidence of the defendant's evil mind. Linthicum, 150 Ariz. at 332, 723 P.2d at 681; see also Gurule. These standards have since been applied to other types of cases, including products liability, see Volz v. Coleman Co., 155 Ariz. 567, 748 P.2d 1191 (1987), and personal injury actions. See Ranburger v. Southern Pacific Transportation Co., 157 Ariz. 551, 760 P.2d 551 (1988).
Previously, the question of punitive damages against intoxicated drivers was allowed to go to the jury upon a showing of gross or wanton negligence. E.g., Smith v. Chapman, 115 Ariz. 211, 564 P.2d 900 (1977); Rustin v. Cook, 143 Ariz. 486, 694 P.2d 316 (App.1984). The current standard for awarding punitive damages developed by recent case law applies to these types of cases and must be utilized in determining whether punitive damages are recoverable in this case.
B. Sufficiency of the Evidence
We must next determine whether the evidence was clear and convincing that Walker acted with an "evil mind," in
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