Like cases should be decided alike. Legal precedent is a prior judicial decision that later courts treat as authority when resolving similar questions of law.

Binding precedent comes from higher courts within the same judicial hierarchy; persuasive precedent comes from other jurisdictions or lower courts and may be followed if well reasoned. The practice stabilizes the law and makes outcomes more predictable for those who plan around it.

Lawyers structure arguments around favorable precedents and distinguish unfavorable ones on the facts or reasoning. Overruling occurs when a court formally abandons an earlier rule, usually for strong reasons. Precedent is the working engine of common-law adjudication.

• Prior decision used as authority in later cases
• May be binding or merely persuasive
• Promotes consistency and predictability
• Can be distinguished or overruled