Final answer:
Punitive damages are awarded in legal cases primarily to deter similar actions in the future by discouraging wrongful conduct through financial penalties.
Step-by-step explanation:
Some of the biggest damage awards in legal cases involve punitive damage amounts that are added to actual compensatory damages. The primary purpose of such large awards is not to compensate the victim, which is done through compensatory damages, but rather B. To deter similar actions in the future.
The idea behind punitive damages is to serve as a deterrent to others, discouraging similar wrongful conduct by making it financially unappealing to potential wrongdoers. Unlike compensatory damages, which are intended to make the victim whole, punitive damages are oriented towards punishing egregious behavior and preventing it from happening again by setting an example. This concept is in line with the broader purposes of the justice system, which includes both punishment and rehabilitation, and as stipulated by the Eighth Amendment, to enforce modern and sophisticated methods in handling justice.