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Romo v. Ford Motor Co.
(California Supreme Court)
Constitutional limits on punitive damages
The NAM filed an amicus letter supporting Ford's appeal of a $290 million punitive damages award. The NAM argued that California violates the Constitution if it subjects conduct that occurred wholly outside California to California's unique punitive damage laws, where California has no significant contacts with or legitimate regulatory interest in that conduct. If California can punish out-of-state conduct that is legal or subject to different laws in other states, then it does not give "Full Faith and Credit" to those other laws as required by Article IV of the Constitution. It also may not intrude upon the legislative power of Congress by projecting its regulatory authority -- via a jury's punitive damage award -- to all 50 states.
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