The Research Of Punitive Damages System

The 49th clause of Consumer Protection Law of China has caused heatedarguments because of the stipulation of double reparations, which are distinct fromcompensatory damages persisting in the Continental Law Legal System and areregarded as the transplantation of punitive damages typical of the Anglo-AmericaLegal System. But the transplantation is not thorough enough and it affects theimplementation of the Consumer Protection Law negatively. The author expounds herideas in the thesis, including the analysis of the nature of double reparations, theexamination of dilemmas brought by double reparations and the suggestion of how toperfect the punitive damages system in China.The thesis consists of five chapters.The preface introduces the problems to be dealt with and illustrates thesignificance for perfecting the 49th clause in the Consumer Protection Law, both intheory and in practice.Then compare double reparations with punitive damages. Through the researchof the history of punitive damages system in the Anglo-America Legal Systemcountries and ancient China, the author comes to the conclusion that there was nopunitive damages system in ancient China. Double reparations stipulated in theConsumer Protection Law are distinct from punitive damages in the Anglo-AmericaLegal System in both functions and calculative methods. In fact they are onlyreparations with certain punishment functions.The thesis analyzes the irrationality of double reparations. They caused troublesand contradictions in both theoretical and practical aspects. For example: who can bedefined as a consumer? Can legal persons, farmers and persons who knowingly buyfakes be considered as consumers? Can the court award a consumer doublereparations in a house fraud case according to the 49th clause? At the same timedouble reparations may facilitate the risk-cost analysis that will harm consumers. Soit is time to re-consider the stipulation of double reparations.So suggests that it's necessary to build punitive damages system in China. Onlyby changing double reparations in three aspects include the system approach, themethods of mathematical calculation and the way of distribution can we solve all theproblems satisfactorily.Chapter five is the conclusion, which sums up the thesis and looks ahead to thetransplantation and implementation of the punitive damages system in China.