QUESTION: How is compensation determined in a premise liability claim? Is there a formula for determining compensation/settlement in a personal injury case, specifically a premises liability claim? How much can reasonably claimed for “pain and suffering” and/or emotional distress. ANSWER: Mass-producers of residential homes and lessors in the business of renting residential units are exposed to strict liability for defects in an integral part of the building structure (e.g., defective shower door, defective heating system. But the overall complex (the entire premises) wherein the housing is constructed is not itself.