Philip Morris U.S.A. v. Williams
United States Supreme Court
127 S. Ct. 1057 (2007)
After Jesse Williams died of smoking-related illness, his widow (plaintiff) sued Philip Morris (defendant) for negligence and deceit in Oregon state court, and the jury found Philip Morris had knowingly deceived Williams about smoking's safety, awarding $821,000 in compensatory damages and $79.5 million in punitive damages. Philip Morris argued the jury should have been instructed it could not punish the company for harm to other smokers not party to the case, but the Oregon Supreme Court rejected that argument and upheld the verdict, prompting Supreme Court review.
Whether a jury may base a punitive damages award in part on a desire to punish the defendant for harm inflicted on persons who are not parties before the court.