Legal Memorandum: Exemplary Damages Standard in WY

Issue: Under Wyoming law, what is the standard for exemplary damages?

Area of Law: Business Organizations & Contracts, Litigation & Procedure
Keywords: Exemplary damages; Punitive damages; Principal and Agent
Jurisdiction: Wyoming
Cited Cases: None
Cited Statutes: Restatement (Second) of Torts § 9009; Restatement (Second) of Agency § 217C
Date: 02/01/2001

           In Campen v. Stone, 635 P.2d 1121 (Wyo. 1981), the Wyoming Supreme Court adopted the Restatement position on a principal’s liability in punitive damages for an agent’s acts:

Punitive damages can properly be awarded against a master or other principal because of an act by an agent if, but only if,


(a) the principal or a managerial agent authorized the doing and the manner of the act, or


(b) the agent was unfit and the principal or a managerial agent was reckless in employing or retaining him, or


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