The US Supreme Court appeared unwilling yesterday to give US business a significant victory in the battle to restrain punitive damage awards, with most of the justices appearing ready to opt for only minor limits on such damages.

At the start of a case involving Philip Morris, the big tobacco company - the most high profile business case of the term - the justices seemed loath to tackle the issue of the size of such awards, as they had been urged to do by the US business community. In the past, they have said punitive damage awards should not exceed a ratio of nine times actual or compensatory damages, except in highly exceptional cases.