The code
\documentclass[11pt]{article}
\usepackage{hyperref}
\usepackage{enumitem}
\newlist{ilist}{enumerate}{3}
\setlist*[ilist]{leftmargin=*}
\setlist*[ilist,1]{label=\arabic*.}
\setlist*[ilist,2]{label=\arabic{ilisti}.,before=\refstepcounter{ilisti}}
\setlist*[ilist,3]{label=\arabic{ilisti}.,before=\refstepcounter{ilisti}}
\begin{document}
\begin{ilist}
\item A
\begin{ilist}
\item B
\begin{ilist}
\item C
\end{ilist}
\end{ilist}
\end{ilist}
\end{document}
is somehow producing the error
The error resolves if I comment out \usepackage{hyperref}.
Any ideas as to why?

hyperrefmust, with rare exceptions, be loaded last will no longer apply? – Denis Bitouzé Feb 21 '24 at 11:51