Texas Civil Practice and Remedies Code section 41.008 caps exemplary (punitive) damages at the greater of $200,000 or two times economic damages plus noneconomic damages up to $750,000. The cap does not apply to conduct described as intoxication assault or intoxication manslaughter. Owsley Law Firm handles serious drunk driving and trucking cases and charges no fee unless we win.
Most crash claims seek compensatory damages: medical bills, lost income, and pain. In rare cases involving gross negligence or malice, Texas law also allows exemplary damages meant to punish. Section 41.008 limits how large those awards can be.
The cap has important exceptions. For drunk driving crashes that meet the definitions of intoxication assault or intoxication manslaughter, the cap does not apply. This page explains how the limit works and when it does not.
How is the Texas exemplary damages cap calculated?
The cap is the greater of $200,000, or two times economic damages plus noneconomic damages found by the jury up to $750,000.
Exemplary damages are not insured in every situation, and collecting them can depend on the defendant’s assets and coverage terms. That is one reason most crash cases focus first on fully proving compensatory damages. Where the facts show truly dangerous conduct, such as a driver choosing to drive heavily intoxicated, the exemplary claim adds pressure and accountability.
The jury must determine economic damages separately from other compensatory damages, so the cap can be calculated. The cap itself may not be disclosed to the jury.
When can exemplary damages be awarded at all?
Only if the claimant proves by clear and convincing evidence that the harm resulted from fraud, malice, or gross negligence, and the jury is unanimous.
Section 41.003 sets that standard. Ordinary carelessness is not enough. Examples that may support gross negligence include a carrier knowingly keeping an unsafe driver on the road or a driver choosing to drive heavily intoxicated.
When does the cap not apply?
The cap does not apply to conduct described as certain felonies, including intoxication assault and intoxication manslaughter.
For most listed felonies, the conduct must have been committed knowingly or intentionally. Intoxication assault and intoxication manslaughter are expressly excepted from that mental state requirement.
- Intoxication assault (Penal Code 49.07)
- Intoxication manslaughter (Penal Code 49.08)
- Other listed felonies committed knowingly or intentionally
How does this apply to drunk driving crashes?
A drunk driving crash causing serious injury or death may fall outside the cap if the conduct meets the intoxication assault or manslaughter definitions.
The civil claim is separate from any criminal case. A dram shop claim against a bar that served an obviously intoxicated person is also separate, under Alcoholic Beverage Code Chapter 2.
Are compensatory damages capped in a Texas car accident case?
No. Section 41.008 limits exemplary damages only. Medical expenses, lost income, and pain and suffering in a car crash case are not capped by this statute.
Damage caps in Texas apply to specific situations, such as exemplary damages and claims against government units under the Tort Claims Act. In an ordinary crash claim against a private driver, compensatory damages are not capped, though medical expenses are limited to amounts paid or incurred under section 41.0105.
The practical limit in most cases is insurance coverage, which is why identifying every available policy matters.
How do exemplary damages work in truck cases?
They usually turn on what the carrier knew, and Chapter 72 lets a defendant bifurcate the trial so exemplary damages are tried in a second phase.
Evidence of a carrier’s safety failures may be reserved for the second phase in a bifurcated commercial vehicle trial. That structure makes the evidence plan important from the start.
How it is proven after a crash
- Toxicology and blood alcohol results
- Bar receipts and witness accounts
- Carrier safety and hiring records
- Driver history and prior violations
- Proof of economic damages for the cap calculation
Mistakes that cost people money
- Assuming punitive damages are available in every case
- Overlooking a dram shop claim
- Not preserving carrier records early
- Confusing the criminal case with the civil claim
Frequently asked questions
Are punitive damages capped in Texas?
Yes, under section 41.008, with exceptions for certain felonies, including intoxication assault and intoxication manslaughter.
What proof is needed for exemplary damages?
Clear and convincing evidence of fraud, malice, or gross negligence, with a unanimous jury, under section 41.003.
Does the cap apply to a drunk driver who killed someone?
Not if the conduct is described as intoxication manslaughter under Penal Code section 49.08.
Can I also sue the bar?
Possibly, under the dram shop law in Alcoholic Beverage Code Chapter 2.
How long do I have to file?
Generally two years from the crash or death under section 16.003.
This page is general information about Texas law and is not legal or medical advice. Every case depends on its own facts. Contact the firm for a free review of yours.
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