That's less per person than the price of a hot-coffee spill.
That's less per person than the price of a hot-coffee spill.
Unless you're talking about a different case the actual amount was way less than that.
>The trial judge reduced the punitive damages to three times the amount of the compensatory damages, totalling $640,000. The parties settled for a confidential amount before an appeal was decided.
https://en.wikipedia.org/wiki/Liebeck_v._McDonald%27s_Restau...
More to the point, it's the difference between a jury trial where jurors are likely to award high amounts from a unsympathetic defendant (a big faceless multinational) to a sympathetic plaintiff (79 year old women), and a settlement (presumably the government didn't think they had a strong case so they didn't take to trial).
What's the context here?
McDonald's knew that their coffee was dangerously hot and had been repeatedly warned about it, so the jury awarded punitive damages.
This doesn't even make sense—water that hot destroys the flavor of the coffee. Why do they not just make and serve the coffee at a temperature people actually expect? Is it so hard to not be an asshole to your customers?
Anyway, Starbucks also serves their coffee about as hot as McDonalds. Turns out, coffee hot enough to cause horrific injury is rather common.
So much for litigation as a way to incentivize behavior....
There was also a lot of public mockery and political grandstanding, at the time, based on a mischaracterization of the suit.
https://en.m.wikipedia.org/wiki/Liebeck_v._McDonald%27s_Rest...
Dude it literally melted her labia together. She deserved that 2.7 million and only got a small portion of it.
Now, instead it is a definitive PR win, with an entire generation of entitled asshole business owners swearing up and down that we need "Tort reform" because "a lady spilled coffee on herself and got $2.7 million", which was explicitly caused by a megacorp going out of their way to be dangerous.