Texas Civil Practice & Remedies Code § 41.008 – Limitation on Exemplary Damages
Table of Contents
Statutory Text:
Unless otherwise provided by law, exemplary damages may not exceed:
(1) Two times the amount of economic damages, plus
(2) An amount equal to non-economic damages (not to exceed $750,000), or
(3) $200,000, whichever is greater.
There are exceptions to this cap for cases involving:
Felonies under certain Penal Code provisions (e.g., murder, aggravated assault, fraud)
Intoxication manslaughter and intoxication assault
What Is the Texas Punitive Damages Cap?
Texas law limits the amount of exemplary (punitive) damages a plaintiff can recover. This cap is intended to:
Prevent excessive awards
Ensure predictability in civil litigation
Comply with due process standards under state and federal law
How the Cap Is Calculated
Under § 41.008(b), the cap is based on a combination of:
Economic damages: Tangible losses like medical bills or lost wages
Non-economic damages: Intangible harm such as pain and suffering, but limited to $750,000 in this formula
Floor rule: At minimum, a plaintiff may receive $200,000 in punitive damages, even if actual damages are low
Example Scenario
A plaintiff is awarded:
$100,000 in economic damages
$50,000 in non-economic damages
The exemplary damages cap would be:
(2 × $100,000) + $50,000 = $250,000
But if economic + non-economic damages are very low (e.g., $20,000 total), the cap defaults to $200,000 minimum.
Exceptions to the Cap
Under § 41.008(c), the cap does not apply if the defendant’s conduct:
Constitutes a felony listed in the Texas Penal Code (e.g., murder, sexual assault, fraud)
Results in criminal conviction for offenses such as intoxication assault or intoxication manslaughter
These exceptions allow unlimited punitive damages.
Related Statutes
Texas Penal Code – Felony Offenses Triggering Exception
Texas Case Law Interpreting § 41.008
The Texas Supreme Court upheld the constitutionality of damage caps and affirmed the legislature’s authority to limit punitive awards.
Clarified when constitutional due process limits might override the statutory cap in extreme cases.
Frequently Asked Questions About § 41.008
Houston Personal Injury Lawyer - Joel A. Gordon
In most cases, the cap is 2x economic damages + up to $750,000 in non-economic damages, or $200,000, whichever is greater.
If the conduct meets a listed felony under the Texas Penal Code, the cap does not apply, and the jury may award unlimited punitive damages.
Yes, except for cases involving criminal conduct, particularly where a felony conviction occurs.
Generally no, unless the cap itself is found unconstitutional in a specific case under due process law.