TXO Production Corp. v. Alliance Resources Corp.
No. 20281
McHugh, Chief Justice, concurring:
Although I concur with much of the majority's analysis in
the present case, I disagree with the majority's categorization of
defendants against whom punitive damages have been awarded. The
majority opinion categorizes these defendants as either "really
mean" or "really stupid." In its cavalier attempt to be clever and
amusing, the majority opinion has carelessly ignored the
fundamental factors which have traditionally been used by courts to
characterize the conduct of defendants in assessing punitive
damages.
Punitive damages have historically been part of our state
tort law. As the law has developed in this area, certain terms
have been established to characterize the degree of
reprehensibility of the defendant's conduct.
Our traditional rule summarizing the type of conduct that
will give rise to punitive damages is found in syllabus point 1 of
Goodwin v. Thomas, 184 W. Va. 611, 403 S.E.2d 13 (1991):
'"In actions of tort, where gross fraud,
malice, oppression, or wanton, willful, or
reckless conduct or criminal indifference to
civil obligations affecting the rights of
others appear, or where legislative enactment
authorizes, it, the jury may assess exemplary,
punitive, or vindictive damages. . . ."
Syllabus point 4, in part, Mayer v. Frobe, 40
W.Va. 246, 22 S.E. 58 (1895).' Syllabus point
1, Wells v. Smith, 171 W. Va. 97, 297 S.E.2d
872 (1982).
Not surprisingly, none of the courts in the punitive
damages cases cited by the majority use the terms "really stupid"
or "really mean" when describing the defendant's actions in their
review of the punitive damage awards. Instead, when characterizing
the defendant's conduct, those courts use terms such as "conscious
indifference," Glassock v. Armstrong Cork Co., 946 F.2d 1085, 1093
(5th Cir. 1991), reh'g denied, 951 F.2d 347, cert. denied, Celotex
Corp. v. Glasscock, 112 S. Ct. 1778, 118 L. Ed. 2d 435 (1992);
"reckless, willful and wanton," Defender Industries, Inc. v.
Northwestern Mutual Life Ins. Co., 938 F.2d 502, 505 (4th Cir.
1991); "particularly egregious," Eichenseer v. Reserve Life Ins.
Co., 934 F.2d 1377, 1382 (5th Cir. 1991); and "reprehensible,"
Hospital Authority of Gwinnett County v. Jones, 409 S.E.2d 501, 502
(Ga. 1991), cert. denied, ___ U.S. ___, 112 S. Ct. 1175, 117 L. Ed.
2d 420 (1992) and Gamble v. Stevenson, 406 S.E.2d 350, 355 (S.C.
1991).
These terms are well-founded in our tort law, and I can
see no useful purpose whatsoever in abandoning these terms for the
ridiculous categorization proposed by the majority in its opinion
today. The terms noted above are those upon which attorneys and
judges have traditionally relied in assessing punitive damages
awards. Unfortunately, by suggesting the use of such subjective
and nontechnical terms as "really stupid" and "really mean," the
majority has offered no practical guidance to attorneys or judges
in analyzing punitive damages cases.
I am authorized to state that Justice Miller joins me in
this concurring opinion.