Research On Punitive Damages System In Consumer Protection

The punitive damages system emanated from common law in England. It is inherited by common law countries such as American, Canada, Australia, and has developed to perfection in the US. In these countries, this system was widely established in so many areas as production liability law, antitrust law, commercial secrets protection law, consumer credit protection law, and it has become a shining star in common legal system. But the rationality of the striking compensation is fed up with dispute. However, in judicial practice, the punitive damages system has positive functions on punishing malice conduct, hold down the same kind of illegal conduct, compensating victims of consumers and encouraging disadvantaged groups such as consumers to fight with illegal conducts. It has made major effect on the theory and practice of civil law countries, so that they have to pay great attention to this system .There has been a tendency to accept punitive damages system gradually in these countries. In the region of Taiwan in our country, the system had been established in Fair Trade Law, Consumer Protection Law, Trademark Law, Commercial Secrets Law, Securities Law and so on. The punitive damages system has been deep studied in German and Japan.Being influenced by the international context, China has established the double indemnity system in the Law of Protection on Consumer Rights and Interests published in 1993.Later,in"commercial housing sales contracts dispute cases the Supreme People's Court on the law applicable to the interpretation of a number of issues",the Supreme People's Court had expand the sphere of application. And in Food Safety Law which was just published in 2008, it has formulated the ten times compensation system. No matter in the circles of legislation, judicial practice or theory, the punitive damages system has made great progress. However, as the society environment changes so fast, the existing punitive damages system cannot completely satisfy the needs of the society, and display some shortcomings——lack of systemic system, narrow sphere of application, and unreasonable rule of determine the punitive compensation. These defects weaken the system's function to protect consumer rights. Directing at the flaws, this article puts forward some advices on completing the punitive damages system in protecting consumers.Except introduction and epilogue, there are five parts and more than 3400 words in this paper.Part one is the general theory of punitive damages. In this part, by using historical analysis method, this part introduces the concept, origin, development and nature of punitive damages system.Part two is the theoretical basis for introducing punitive damages system into consumer area. This part focuses on elaborating the necessity and jurisprudential basis for the introduction of the system in consumer area, and demarcates the applicable scope on protecting consumers.Part three is the empirical analysis of punitive damages on Chinese consumer protection. This part analyses the existing system of punitive damages, and puts forward its own views on the defects of this system in Law of Protection on Consumer Rights and Interests and Food Safety Law respectively.Part four is comparative study of punitive damages system on consumer protection. Using comparative analysis method , this part studies relative institution in main countries of Common Law System, the legislative attitude in Civil Law System countries such as Japan and German, as well as the legislative situation of Taiwan in China. And then the author proposes fine experiences for China to learn.Part five is the thinking about the perfection of punitive damages system on Chinese consumer protection. This part analyses the defect of the system on the sphere of consumer protection, and offers its own opinions and suggestions on the selection of legislative pattern and perfection of system construction on Chinese punitive damages system.