31.   Alabama is known for having liberal standards on punitive damage awards.

32.   After the meeting, LaVoy said he made clear to Carty that the relationship could not be repaired so long as the company insisted on collecting the damage award.

33.   Allan Kaplan, a tobacco industry analyst at Merrill Lynch, discounted the likelihood that states would ultimately receive large damage awards from the companies.

34.   Brian Lysaght, a former federal prosecutor who does commercial litigation in California, noted that damage awards are frequently reduced or overturned on appeal.

35.   Both houses have also passed bills limiting damage awards in product-liability cases.

36.   Bush and other foes of the bill wanted the cases handled in federal court, arguing that state cases tended toward bigger damage awards.

37.   Bush, who objects to those liability provisions, seeks to limit lawsuits to federal courts instead of state courts, where damage awards are typically higher.

38.   Bush has successfully pushed legislation making it easier for courts to toss out frivolous suits, and to limit damage awards.

39.   But a punitive damage award, which is meant to punish a company, or the loss of a class-action case could produce significant financial damage.

40.   Bush says it was an effort to protect businesses from frivolous lawsuits and unreasonable damage awards.