In what circumstances will a court award punitive damages in a case where a former agent of a defendant defrauded a plaintiff out of a stipulated sum of money?

In Haigler v. Donnelly, 18 Cal.2d 674, 117 P.2d 331, the court upheld an award for punitive damages. The first cause of action alleged was one for money had and received. The second cause of action alleged that defendant, while acting as agent for plaintiffs, received a stipulated sum of money belonging to plaintiffs and maliciously and fraudulently refused to account for it after proper demand. The court characterized the first cause of action as ex contractu in nature, being founded upon a promise implied in law. It characterized the second cause of action as ex delicto in nature, since it contained the essential elements of an action for conversion.