True or False: Punitive damages are only awarded in cases of negligence.

The statement that punitive damages are only awarded in cases of negligence is false. Punitive damages are designed to punish a defendant for particularly egregious or outrageous behavior and to deter others from engaging in similar conduct. They can be awarded in a variety of legal contexts, not just in cases of negligence.

Punitive damages may arise in cases involving intentional torts, such as assault or fraud, as well as in cases of gross negligence, which goes beyond simple negligence. The courts consider the nature of the defendant's actions and the severity of the wrongdoing when determining whether to award punitive damages, demonstrating that such awards are not limited exclusively to negligence cases. Therefore, the correct answer indicates a broader application of punitive damages beyond just negligence claims.