The Applicability Of Punitive Damages System In The Field Of Contract

Punitive Damages System has existed since ancient times,but it hadn’t been usedin the field of contract in a very long period of time.With the development of societyand market economy,the trading phenomenon of human is becoming more and morefrequent and complex, which makes it inevitable to introduce Punitive Damages Systeminto the area of contract, the United States took the lead in the introduction of PunitiveDamages System to the area of contract, and greatly influenced worldwide. This articleillustrates that it is a general trend to apply Punitive Damages System to the area ofcontract through the following three aspects: the history evolution and function ofPunitive Damages System, comparison of Punitive Damages System in differentcountries,as well as the the necessity of the application of Punitive Damages System inthe area of contract. Thus, it’s obliged to improve Punitive Damages System in the areaof contract, and put forward individual ideas and legislative proposals from threeaspects: constituent elements, scope and amount of compensation.