compensatory

Intermediate ⚖️ Legal

Definition

Money or benefits given to make up for something bad that happened, because apparently 'sorry' doesn't pay the bills. The corporate world's way of putting a price tag on suffering, inconvenience, or injury. Often appears in legal settlements where lawyers translate your pain into billable hours and percentage points.

Example Usage

The company offered compensatory damages of $50,000, which their lawyers calculated as exactly enough to avoid a bigger lawsuit.

Source: Legal and HR terminology

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