compensatory damages

noun

: money awarded to a victim to make up for an injury, damage, etc.
The patient sued for compensatory damages.

Examples of compensatory damages in a Sentence

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The Royalton’s arguments appear to have fallen flat with the jury in Tarrant County that on Tuesday returned a verdict of $31.2 million in compensatory damages for Jamie Snow and the couple’s two children, girls who are now 10 and 8. Emerson Clarridge, Fort Worth Star-Telegram, 13 June 2025 Most lawsuit settlements are taxed, but there’s an important exception: compensatory damages for personal physical injuries or physical sickness are tax free under Section 104 of the tax code. Robert W. Wood, Forbes.com, 9 June 2025 In finding that Kaplan gave France a fair hearing, the court noted that Kaplan only awarded Bernstein $225,000 in compensatory damages, far less than the $1,213,676 demanded. Chris Deubert, Forbes.com, 31 May 2025 Depending on the amount of money in the fund, Goodwin could get a certain percentage of compensatory damages over several years. Ashley Carnahan, FOXNews.com, 28 May 2025 See All Example Sentences for compensatory damages

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Cite this Entry

“Compensatory damages.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/compensatory%20damages. Accessed 18 Jun. 2025.

Legal Definition

compensatory damages

noun
: actual damages at damage 2
Last Updated: - Updated example sentences
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