Definition of Punitive Damages:
Punitive damages are costs or damages awarded in excess of compensation to punish the defendant for their wrongful actions. These damages are meant to deter the defendant and others from engaging in similar conduct in the future.

Purpose of Punitive Damages:
Punitive damages serve as a form of punishment for the defendant's misconduct or gross negligence. They are intended to go beyond simply compensating the plaintiff for their losses and to hold the defendant accountable for their actions.

Factors Considered in Awarding Punitive Damages:
- The severity of the defendant's actions
- The level of harm caused to the plaintiff
- The defendant's financial status
- The need to deter similar conduct in the future

Legal Basis for Punitive Damages:
Punitive damages are typically awarded in cases where the defendant's conduct is found to be willful, wanton, or malicious. They are not meant to compensate the plaintiff for their losses but rather to punish the defendant and deter similar conduct in the future.

Difference Between Compensatory and Punitive Damages:
Compensatory damages are awarded to compensate the plaintiff for their losses, such as medical expenses, lost wages, and pain and suffering. On the other hand, punitive damages are awarded in addition to compensatory damages and are meant to punish the defendant for their misconduct.
In conclusion, punitive damages are costs or damages awarded in excess of compensation to punish the defendant for their wrongful actions. They serve as a form of punishment and deterrence, going beyond simply compensating the plaintiff for their losses.