Business Law: Precedents

Objectives:

• Define precedent, binding precedent, and persuasive precedent
• Contrast binding and persuasive precedent
• Explain how courts make law using precedent and the role of stare decisis
• Evaluate the strengths and weaknesses of using precedent in legal decision-making

Age Level: Late secondary school

National Standards: Complies with NBEA Business Law 2023 Standard I.1 Analyze the relationship between ethics and the law and describe the law’s sources, the structure of the court system, different classifications of procedural law, and different classifications of substantive law:

I.1.B.16 Explain how courts make law using precedent and the role of stare decisis

I.1.B.18 Define binding precedent

I.1.B.19 Define persuasive precedent

I.1.B.20 Contrast binding and persuasive precedent