SACRAMENTO | LOS ANGELES
Call our Offices: 877-770-7379

Appealing an Excessive or Inadequate Damages Award in California

Appealing an Excessive or Inadequate Damages Award in CaliforniaA homeowner wins a $40,000 verdict against a contractor, although her expert estimated $400,000 in repair costs. A developer faces a verdict far above the losses shown by the evidence. Both want to challenge the amount. Neither can simply ask an appellate court to choose a different figure.

Challenging a damages award in California usually starts in the trial court. An excessive award exceeds what the evidence supports. An inadequate award falls short of the harm the evidence establishes. In jury cases, a party generally challenges the award through a new trial motion. The appeal then examines the record for legal errors and evidentiary support. It does not give either party a second trial.

What Makes a Damages Award Excessive or Inadequate?

An award is excessive when the evidence does not support its amount. An award is inadequate when it fails to reflect the harm established at trial.

Disagreement with the jury’s decision does not justify changing the award. In Bigboy v. County of San Diego (1984) 154 Cal.App.3d 397, the Court of Appeal addressed the jury’s role in determining damages. It reinstated a $2.25 million verdict because the trial judge lacked sufficient grounds to set it aside.

The type of damages also affects the court’s review.

  • Compensatory damages. These cover financial losses, such as repair costs and medical bills. They also cover nonfinancial harm, including pain and emotional distress. Courts examine whether the evidence supports the award.
  • Punitive damages. These punish and deter serious misconduct. They also face constitutional limits. In State Farm v. Campbell, 538 U.S. 408 (2003), the U.S. Supreme Court identified three guideposts. Courts consider the defendant’s conduct, the ratio between punitive and compensatory damages, and comparable civil penalties. The Court noted that single-digit ratios are more likely to satisfy due process.

How Can a Party Challenge a Damages Award Before Appealing?

A party usually starts by filing a motion for a new trial. The motion asks the trial judge to set aside the verdict and order another trial. The judge may grant a new trial on all issues or only certain issues.

Grounds under section 657

Code of Civil Procedure section 657 identifies several grounds for a new trial. Three are particularly relevant to damages:

  • Excessive or inadequate damages. The statute identifies either problem as an independent ground.
  • Insufficient evidence. The evidence does not justify the verdict, or the verdict conflicts with the law.
  • Legal error. A legal error occurred during trial and affected the party’s rights.

For the first two grounds, the judge must find that the entire record clearly supports a different verdict. The judge must also state the reasons for granting the motion.

A trial judge has broader authority than an appellate court when reviewing damages. In Seffert v. Los Angeles Transit Lines (1961) 56 Cal.2d 498, 507, the Supreme Court described the judge as a “thirteenth juror.” The judge may weigh evidence and assess witness credibility.

Filing and notice requirements

Two statutes govern the deadlines for new trial motions.

Under Code of Civil Procedure section 659, a party files a notice of intention to move for a new trial. The party may file this notice after the decision but before entry of judgment. Otherwise, the deadline is the earlier of these dates:

  • 15 days after service of written notice of entry of judgment.
  • 180 days after entry of judgment.

A court order or stipulation cannot extend these deadlines.

Code of Civil Procedure section 660 sets the deadline for the court to decide the motion. The court generally has 75 days after service of notice of entry or filing of the notice of intention, whichever occurs first. If no notice of entry is served, the 75-day period runs from filing the notice of intention. An undecided motion is denied by operation of law when the deadline expires.

How the motion affects a later appeal

A new trial motion and an appeal serve different purposes. The motion asks the trial judge to reconsider the verdict. An appeal asks a higher court to review the judgment and relevant trial court rulings.

In jury cases, a new trial motion is particularly important when challenging excessive damages. In Schroeder v. Auto Driveaway Co. (1974) 11 Cal.3d 908, 918–919, the Supreme Court held that parties cannot challenge excessive damages for the first time on appeal. They must first raise the issue through a new trial motion. The court left open whether the same rule applies to bench trials.

An appellate court may also review an order on a new trial motion. Under Code of Civil Procedure section 906, the reviewing court may examine such an order when reviewing the judgment. An order granting a new trial is separately appealable under section 904.1.

How Do California Appellate Courts Review Damages Awards?

An appellate court does not reweigh evidence or reassess witness credibility. Under Seffert, it resolves evidentiary conflicts in favor of the prevailing party. It also draws reasonable inferences supporting the judgment.

The applicable standard depends on the issue:

  • Substantial evidence. The court asks whether evidence supports the award. It does not decide whether another amount would have been more appropriate.
  • Passion or prejudice. Courts may intervene when an award is so large that it shocks the conscience. Such an award may suggest passion, prejudice, or corruption. Schroeder also describes awards that appear excessive as a matter of law.
  • Orders granting a new trial. Section 657 requires appellate courts to uphold these orders when substantial evidence supports the judge’s stated reasons. Bigboy applied this standard.

The distinction between factual disputes and legal errors also matters. Appellate courts defer to supported factual findings. They review legal questions under the applicable standard. For example, a challenge to an incorrect jury instruction involves a legal issue. The same applies to the wrongful exclusion of expert testimony.

Even when a party establishes legal error, reversal requires prejudice. Article VI, section 13 of the California Constitution prohibits reversal without a miscarriage of justice.

An appellate court may intervene when the evidence cannot support the award. It may also act when the amount suggests passion or prejudice. Reversible legal errors affecting the damages award may provide another basis.

What Are Remittitur and Additur in California?

After a jury trial, remittitur and additur can resolve a damages dispute without a full retrial. Both involve a conditional order granting a new trial on damages.

  • Remittitur. The judge finds the award excessive. The plaintiff may accept a lower amount or reject it and proceed to a new trial on damages.
  • Additur. The judge finds the award inadequate. The defendant may accept a higher amount or reject it and proceed to a new trial on damages.

Code of Civil Procedure section 662.5 governs these procedures. The judge uses independent judgment to set an amount that is fair and reasonable under the evidence.

The conditional order may set a deadline for accepting or rejecting the change. If it sets no deadline, the party has 30 days after the clerk serves the order. Failure to respond counts as rejection. The court then grants a new trial limited to damages. A party accepting the change must also submit a proposed amended judgment.

Consent and the jury-trial right in additur

Additur requires the defendant’s consent. The judge cannot impose a higher award without that agreement. If the defendant rejects the increase, the case proceeds to a new trial on damages.

California’s Supreme Court addressed this issue in Jehl v. Southern Pacific Co. (1967) 66 Cal.2d 821. The court overruled its earlier decision in Dorsey v. Barba. It held that additur does not violate California’s constitutional right to a jury trial. The court treated additur and remittitur as similar procedures.

Options after a conditional order

The parties have different options depending on the proposed change.

  • Accept the change. The accepting party agrees to the revised amount and submits a proposed amended judgment.
  • Reject the change. The case proceeds to a new trial limited to damages.
  • Appeal. A party may challenge the resulting judgment or new trial order, subject to the applicable appeal rules.

California Rules of Court, rule 8.108(b)(2) sets special appeal deadlines. If a party accepts the change, the time to appeal from the judgment extends until 30 days after service of acceptance. If a party rejects the change, or the acceptance period expires, the time to appeal from the new trial order extends until the earlier applicable deadline. This is generally 30 days after service of rejection or 30 days after the acceptance period expires.

When Can an Appellate Court Reverse or Modify a Damages Award?

Code of Civil Procedure section 906 gives reviewing courts several options. Depending on the issues and record, a court may:

  • Affirm the judgment. The court upholds the award when the record supports it and no reversible error occurred.
  • Reverse for legal error. A court may reverse when an error, such as an incorrect measure of damages, affected the award and caused a miscarriage of justice.
  • Order a new trial or further proceedings. The court may return the case to the trial court when another damages proceeding is necessary.
  • Review a new trial order. If the trial judge granted a new trial without substantial support for the stated reasons, the appellate court may reverse that order. Bigboy illustrates this type of review.

An appellate court does not simply replace the jury’s figure with its preferred amount. The result depends on the record, the alleged error, and the applicable standard of review. The firm’s guide explains how long a California civil appeal takes.

What Evidence and Trial Records Matter During a Damages Appeal?

An appellate court reviews the record from the trial court. It generally does not hear new testimony or consider new evidence.

Several parts of the record can affect a damages appeal:

  • Trial transcripts. They contain witness testimony, arguments, and discussions about damages.
  • Jury instructions and verdict forms. These show how the jury calculated damages and whether it itemized the award.
  • Expert testimony. Experts often provide opinions and calculations supporting economic damages.
  • Medical and financial evidence. Medical bills, treatment records, financial documents, and loss calculations support or challenge the award.
  • Motions, objections, and rulings. These show which issues the parties raised and how the trial judge handled them.

An incomplete record can make it harder to challenge the award. The appellate court generally presumes the trial court’s decision was correct when the record does not show otherwise.

The firm’s article on what goes into the California appellate record explains the clerk’s transcript and reporter’s transcript.

What Deadlines Apply to Damages Appeals in California?

Several deadlines may apply after a damages judgment. Each deadline has a separate trigger.

  • New trial motion. Section 659 governs the notice of intention. Section 660 sets the deadline for the court to rule, as discussed above.
  • Notice of appeal. California Rules of Court, rule 8.104 sets the general deadline. A party must file by the earliest of three dates:
    • 60 days after the clerk serves notice of entry or a file-endorsed copy of the judgment.
    • 60 days after a party serves notice of entry.
    • 180 days after entry of judgment.

    The trial court cannot extend this deadline.

  • Extension after a new trial motion. A valid notice of intention extends the appeal deadline for all parties under rule 8.108. The deadline becomes the earliest of these dates:
    • 30 days after the clerk serves notice of entry of the order denying the motion.
    • 30 days after the motion is denied by operation of law.
    • 180 days after entry of judgment.

A new trial motion and an appeal are separate procedures. Filing a notice of appeal does not preserve an untimely new trial motion. Conditional orders, partial judgments, and multiple parties can also affect the deadlines.

Under rule 8.108(g), another party may have 20 days after the clerk serves notice of the first appeal to file its own notice. The firm’s guide to filing an appeal in California explains the filing process.

Challenging a Damages Award Depends on the Record and the Procedure

Challenging a damages award requires careful review of the trial record, procedural requirements, and applicable standards of review.

Kassouni Law represents private parties in appellate matters. If you believe a California court awarded excessive or inadequate damages, the firm can review your circumstances and discuss the legal options that may be available.

Call Kassouni Law at (877) 770-7379 or contact the firm to discuss your situation. Submitting a contact form does not create an attorney-client relationship.

Frequently Asked Questions

Can a plaintiff appeal an inadequate damages award in California?

Yes, in appropriate cases. The plaintiff must show a legal error or a lack of support in the record. In jury cases, the plaintiff generally must first raise inadequate damages in a motion for a new trial.

Can a defendant appeal an excessive jury award?

Yes. A defendant may argue the evidence cannot support the amount or that the award reflects passion or prejudice. Courts defer to the jury, so the argument must rest on the record.

Must someone file a motion for a new trial before appealing damages?

In jury cases, usually yes for excessive or inadequate damages. Schroeder held that the point cannot be raised for the first time on appeal. Other issues, such as legal error, follow different preservation rules.

Can a California appellate court increase or reduce a jury’s damages award?

The power is limited. An appellate court may affirm, reverse, modify, or order a new trial, but it cannot weigh the evidence. Trial judges, not appellate courts, ordinarily use remittitur and additur under section 662.5.

How long does someone have to appeal a damages award in California?

It depends on the facts. Rule 8.104 sets a general limit of 60 days after notice of entry or 180 days after entry of judgment. A timely new trial motion can extend that time under rule 8.108.

The information provided here is for general informational purposes only and is not legal advice. Whether a damages award can be challenged depends on the facts, the claim, and the law in effect. Consult a qualified attorney about your circumstances.

Tags: , , , , ,