Courts restrict enterprise liability by weighting the effect on defendants’ innovation.

Evidence

The New Jersey Supreme Court, for example, limited the imposition of enterprise liability solely to asbestos cases. … Similarly, the California Supreme Court refused to extend liability to a drug company based, among oie ne) on the effect that would have on the development of new drugs. — G. Alan Tarr, Judicial Process and Judicial…, 3529

Categorization

• XREF: Illustrates how policy consequences guide state high courts’ doctrinal choices, echoing the course’s interpretive-frameworks material.