A precedent means a previously decided case which
establishes a rule or principle that may be utilized by a court or a judicial body in deciding cases. Judicial judgment is based on the ‘doctrine of stare decisis’, namely to “stand according to the decision already made”. The ‘doctrine of stare decisis’, states that the judgment of the court is an example to be followed in future cases of a similar nature. The use of precedent helps to gain confidence in the litigation judicial system. Stare decisis is a policy adopted by the court to stand by a precedent. TYPES OF PRECEDENTS There are different types of precedent within the law. 1. Original Precedent The first is ‘original precedent’ which refers to a case having a point of law which has never been decided before, then the decision of the judge in such a case forms an original precedent. In such a case the judge has to reason by analogy and look at cases that are similar and are closest in principle and thus arrive at a judgment by using similar reasoning. 2. Authoritative or Binding Precedent As the name suggests authoritative precedent or decision is one which judges must follow whether they approve it or not. It is also known as mandatory precedent or binding authority. A court lower in the hierarchy follows and honours the findings of law made by a court higher in the hierarchy. The decisions of lower courts are not binding on courts higher in the system. Lower courts are bound by precedent (that is, prior decided cases) of higher courts within their region. 3. Persuasive Precedent And a persuasive decision or precedent is one which the judges are under no obligation to follow but which they will take into consideration and attach as much weight as it deserves. It is a precedent that the court need not follow, but may consider when a decision is being made as it is relevant and might be useful. Persuasive precedent comes from many places. Courts lower in the hierarchy can create a persuasive precedent. These cases could be cases that are decided by lower courts, or courts equivalent in the hierarchy or in some exceptional circumstances, cases of other nations, judicial bodies of the world etc. Once a persuasive precedent has been adopted by a higher court it becomes a binding precedent for all the lower courts that time onwards. TWO RULES APPLY TO THE PRINCIPLES OF JUDICIAL PRECEDENT 1. The first rule states that a court which is lower in a hierarchy is completely bound by the decisions of the top courts. 2. The second rule states that high courts are generally bound by their judgments in cases relating to preceding cases. Supreme Court The Supreme Court is the supreme authority and its decisions are binding on all other courts. Article 141 of the Constitution states that any law decided by the Supreme Court shall be binding on all courts of the country. Article 141 states that all courts are legally bound to the judicial decisions of the Supreme Court except for the Supreme Court itself. The Supreme Court is not bound by its own decisions. However, the Supreme Court holds past decisions cannot be changed, except on certain circumstances. If the earlier decision is found to be wrong, the Supreme Court can change it. High Court The decisions of the High Court are binding on all subordinate courts. In case of conflict between two benches of the same authority, the later decision of the high court is followed. The higher the number of judges on a bench, the greater their authority. The decision of one High Court does not bind on other High Courts. THE BINDING ELEMENT OF A CASE It is not the entire judgment that is binding on the lower courts but only the ratio decidendi. The ratio decidendi of a case is the underlying principle or legal reason on which the result of the case depends. This ratio is different from the relevant facts and arguments (Obiter dictum) which are not binding. We are actually concerned with legal principles that can be extracted from the case which is known as the ratio decidendi. 1. Ratio decidendi: – The ‘ratio decidendi’ is derived from a Latin word meaning reason for the decision. It consists of a rule or principle established and formulated through judgment. The principle applies in all future decisions that create the same facts; the fall in the ratio is binding on all lower courts of the country.The ratio or cause of decision making is deducted from the facts of the case and subsequently applied in all other cases, it forms the basis for accepting a particular decision as precedent. 2.Obiter dictum: – An obiter dictum is an opinion or comment made by a judge that does not form an essential part of a court’s decision. Obiter dictum is a Latin word that means the way things are done. The Obiter dictummentions some opinions, examples, statements, observations, etc., which are made by the judge while making the decision. These opinions are not binding on all other courts, while they are only persuasive in nature. ADVANTAGES OF JUDICIAL PRECEDENT 1. All people dealing with the same case are treated equally and there are equality and fairness of justice. 2. It serves as guidelines to decide future cases. 3. For example, time is saved and convenience increases because the question once is already settled and this saves the time and labor of judges and lawyers. 4. Precedents help formulate new statutory laws and adjust to the changing circumstances of society. 5. Cases that make them more practical. 6. The binding precedent establishes a rule that helps maintain stability.