I Introduction

In the United States, maritime law is unique. The overwhelming majority of contract and tort cases are governed by state law, and questions regarding damages are accordingly resolved most often under the law of the relevant state. The breach of a contract governed by California law could result in a different damage award than an identical breach of an otherwise identical contract governed by Massachusetts law. But a maritime contract or a maritime tort is generally1 subject to maritime law. To be sure, results under maritime law are frequently the same as under state law. Judges deciding maritime cases are influenced by widely recognised common law principles that apply not only in most states but throughout the common law world.2 Moreover, maritime law has often been influential in the evolution of state law.3 But maritime law can and often does diverge from the state law that might otherwise govern a dispute. Punitive damages provide a prime example of an issue in which state law and maritime law are often different.4