common law system

What is Common Law? Understanding Why Most Civil Lawsuits Never Reach Trial

Here’s an important fact about our American justice system: We follow what’s called Common Law, where courts rely on past rulings to interpret and enforce laws. Unlike laws passed by legislators, common law evolves through judicial decisions.

While common law is foundational in the U.S., other countries like Canada, India, and Australia also follow this system. This video explains how this approach shapes the legal landscape, guiding future cases.

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How the Common Law System Works

Legal precedents, or how past cases were ruled, play a critical role in the common law system. They:

» Influence how laws are applied

» Help judges interpret laws effectively

» Ensure consistency in handling similar cases 

» Promote uniformity across legal rulings

Remember that common law is a system where courts rule on cases based on precedents set in previous cases. Countries like the UK, Canada, and the U.S. use this system.

However, when civil lawsuits are settled privately (outside of court), fewer public rulings are made. This reduces the number of precedents available for future cases, thus making it harder to establish clear guidelines for some legal matters.

Since courts use past rulings, it allows common law to evolve as new issues arise.

Why Most Civil Lawsuits are Settled Privately

Most civil cases don’t go to trial because settling is often faster, cheaper, and less risky for both parties. For example, in employment disputes, it’s common for the employer to agree to pay the employee to avoid a lengthy court battle.

These settlements usually include confidentiality agreements, keeping the details of the case private. Because of this, fewer legal rulings are made public, which limits the number of precedents lawyers and judges can rely on for future cases. This can make predicting outcomes in similar cases more difficult.

Why Hiring a Lawyer is Essential

If you’re involved in a civil case or contract dispute, it’s important to seek legal guidance. Relying on other resources may leave you without the insights needed to navigate the complexities of the common law system. A lawyer can research relevant, past precedents, interpret laws, and guide you through the legal process.

We can help navigate civil lawsuits for businesses, so contact us for a FREE consultation.

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