White v. Ultramar, Inc.

Opinion

CHIN, J.

We granted review to resolve a conflict in the Courts of Appeal over how to define the statutory term “managing agent” for determining corporate punitive damage liability under Civil Code section 3294, subdivision (b).1 Some courts, including the Court of Appeal in this case, broadly define the term to include supervisory employees who have limited decision-making authority, but possess the ability to hire and fire company employees. (See, e.g., Stephens v. Coldwell Banker Commercial Group, Inc. (1988) 199 Cal.App.3d 1394, 1404 [245 Cal.Rptr. 606] (Stephens).) Others limit the…