Jacques v. Steenberg Homes, Inc.
Citation
209 Wis. 2d 605 (Wis. 1997). Supreme Court of Wisconsin.
Facts
Steenberg Homes needed to deliver a mobile home across snow-covered terrain. The most direct route crossed the Jacques’ farm. The Jacques clearly and repeatedly refused permission. Steenberg delivered the mobile home by crossing the Jacques’ land anyway. A jury awarded the Jacques 100,000 in punitive damages. The court of appeals reversed the punitive damages award, holding punitive damages cannot accompany only nominal compensatory damages.
Issue
May punitive damages be awarded for intentional trespass to land when only nominal compensatory damages were found?
Holding
The Wisconsin Supreme Court reinstated the $100,000 punitive damages award. Punitive damages are available for intentional trespass even when only nominal compensatory damages are awarded.
Rule / Doctrine
The right to exclude is a fundamental stick in the bundle of property rights. Nominal damages alone are an insufficient deterrent to intentional, knowing trespassers who calculate that the benefit of the trespass exceeds any likely nominal award. Punitive damages serve to deter deliberate disregard of clearly stated property rights. The rule that punitive damages require compensatory damages is satisfied by nominal compensatory damages in the intentional trespass context.
Significance
Jacques is a foundational property rights case demonstrating the courts’ commitment to protecting the right to exclude even when actual harm is minimal. It illustrates the difference between property rule protection (backed by injunctions and punitive damages) and liability rule protection (backed only by damages).