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U.S. Supreme Court Upholds Punitive Damages for Oregon Man's Vision Loss

Strategic Insights

— 2 min read

A 56-year-old Oregon man, Douglas Axen, has been awarded $22 million in punitive damages by the U.S. Supreme Court after he went blind due to a medication for his heart. The court rejected an appeal by American Home Products, which argued that the punitive damages award of $20 million was excessive and violated the Constitution's ban on excessive fines. Axen's medication, marketed by Wyeth-Ayerst Laboratories, caused his vision loss in 1994. He initially won $407,000 in economic damages, $1.5 million for pain and suffering, and $20 million in punitive damages in a county court in Oregon in 1997. The U.S. Supreme Court previously ruled in 1989 that the ban on excessive fines does not apply to punitive damages awarded to private citizens. However, under Oregon law, nearly half of the punitive damages awarded to Axen would go to the state. Axen's lawyers argued that the state's award-splitting law, which has been struck down by a state trial judge, is unconstitutional.

Key Takeaways:

  • The U.S. Supreme Court has upheld an earlier ruling that American Home Products must pay $20 million in punitive damages to Douglas Axen for his vision loss caused by medication.
  • Axen's medication, marketed by Wyeth-Ayerst Laboratories, caused his vision loss in 1994.
  • He initially won $407,000 in economic damages, $1.5 million for pain and suffering, and $20 million in punitive damages in a county court in Oregon in 1997.
  • The U.S. Supreme Court previously ruled in 1989 that the ban on excessive fines does not apply to punitive damages awarded to private citizens.
  • Under Oregon law, nearly half of the punitive damages awarded to Axen would go to the state.
  • Axen's lawyers argued that the state's award-splitting law is unconstitutional and has been struck down by a state trial judge.
  • The court rejected American Home Products' appeal, which argued that the punitive damages award was excessive and violated the Constitution's ban on excessive fines.
  • Axen, 56, is accompanied by his wife, Sandra, who won $936,000 in damages, later reduced to $500,000.

Statistics:

  • $22 million: Total amount of punitive damages awarded by the U.S. Supreme Court to Douglas Axen.
  • $20 million: Original award of punitive damages by the Oregon court.
  • $407,000: Initial award of economic damages won by Axen.
  • $1.5 million: Award for pain and suffering won by Axen.
  • $936,000: Original award of damages won by Axen's wife, Sandra (later reduced to $500,000).
  • 1989: Year the U.S. Supreme Court ruled that the ban on excessive fines does not apply to punitive damages awarded to private citizens.

Sources:

  • XINHUA
  • COMTEX (http://www.comtexnews.com)

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