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United States Gypsum Co. v. Mayor and City Council of Baltimore

9/12/1994

a non-intentional tort case involving only claims for property damages.


In an intentional tort action where the claims for damages are based solely on injury to property or economic loss, this Court has taken the position that punitive damages can be awarded if the appropriate standards are met. See, e.g., Nails v. S&R; 334 Md. 398, 639 A.2d 660 (1994) (fraud action); K&K;Management v. Lee, 316 Md. 137, 174-179, 557 A.2d 965, 983-985 (1989) (conversion); Rite Aid Corp. v. Lake Shore Inv., 298 Md. 611, 626, 471 A.2d 735, 742-743 (1984) (malicious interference with contract or business relations, and slander of title); Henderson v. Maryland Nat'l Bank, 278 Md. 514, 366 A.2d 1 (1976) (conversion); Daugherty v. Kessler, 264 Md. 281, 286 A.2d 95 (1972) (malicious interference with contractual or business relations); Nichols v. Meyer, 139 Md. 450, 457-458, 115 A. 786, 788-789 (1921) (action of trespass de bonis asportatis); Knickerbocker Co. v. Gardiner Co., 107 Md. 556, 569-570, 69 A. 405, 410 (1908) (malicious interference with contractual or business relations); Baltimore & Ohio R. R. Co. v. Boyd, 63 Md. 325, 334-335 (1885) (action of trespass quare clausum fregit). Furthermore, in a non-intentional tort action where damages are sought for personal injury or wrongful death, we have held that punitive damages are recoverable if the defendant acted with actual malice. See, e.g., Komornik v. Sparks, 331 Md. 720, 629 A.2d 721 (1993) (personal injury negligence action); Eagle-Picher v. Balbos, supra, 326 Md. at 233-234, 604 A.2d at 471-472 (wrongful death products liability action brought under a negligence theory); Owens-Illinois v. Armstrong, supra, 326 Md. at 128-129, 604 A.2d at 57 (personal injury products liability action brought under both negligence and strict liability theories); Owens-Illinois v. Zenobia, supra, 325 Md. at 450-473, 601 A.2d at 647-659 (personal injury products liability action brought under a strict liability theory); Davis v. Gordon, 183 Md. 129, 36 A.2d 699 (1944).


Nevertheless, we are aware of no prior opinion of this Court upholding an award of punitive damages in a non-intentional tort action involving only property damages. While this Court has not specifically discussed the question of the availability of punitive damages in a non-intentional tort property damage


case, there is language in some opinions which may indicate that, in a non-intentional tort case, there must be something more than injury to property for punitive damages to be available. See, e.g., Conklin v. Schillinger, 255 Md. 50, 70-71, 257 A.2d 187, 197-198 (1969); Davis v. Gordon, supra, 183 Md. at 133-134, 36 A.2d at 700-701.


Recently, in a few jurisdictions, this question has been explored with divergent results. In Eisert v. Greenberg Roofing, 314 N.W.2d 226, 228-229 (Minn. 1982), the Supreme Court of Minnesota held that punitive damages could not be recovered in a strict products liability action where the plaintiff's claim was limited to property damages. In so holding, the Minnesota court distinguished between "the vital state interest" in protecting persons and the interest in protecting property, stating (314 N.W.2d at 229, quoting Gryc v. Dayton-Hudson Corp., 297 N.W.2d 727, 737

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