TAILIEUCHUNG - Lecture Fundamentals of business law (6/e): Chapter 2 - Margaret Barron

Chapter 2 - The Australian court system. In this chapter you should understand: The role played by the courts in making law, the jurisdiction of federal and state courts and tribunals, the doctrine of precedent, including the difference between a binding and a persuasive precedent, the adversary system of justice, the trial process,. | This is the prescribed textbook for your course. Available NOW at your campus bookstore! 2- Copyright © 2000 McGraw-Hill AustraliaCopyright 2009 McGraw-Hill Australia Pty Ltd PPTs t/a Fundamentals of Business Law 6e The Australian Court System Chapter 2 2- Copyright © 2000 McGraw-Hill AustraliaCopyright 2009 McGraw-Hill Australia Pty Ltd PPTs t/a Fundamentals of Business Law 6e Introduction Businesses operate within the Australian legal framework. You need to understand the role played by the various courts in Australia and how they operate and make decisions. 2- Copyright © 2000 McGraw-Hill AustraliaCopyright 2009 McGraw-Hill Australia Pty Ltd PPTs t/a Fundamentals of Business Law 6e Laws Made by the Courts Called common law, case law, judge-made law. Courts interpret statutes and apply common-law principles. In doing this, courts may establish legal principles that can be used in subsequent cases with similar facts. 2- Copyright © 2000 McGraw-Hill AustraliaCopyright 2009 McGraw-Hill Australia Pty Ltd PPTs t/a Fundamentals of Business Law 6e The Doctrine of Precedent (stare decisis) Courts should treat similar cases in similar fashion. Results in: Precedent: a past judgement of a court cited as authority for the legal principle embodied in a new decision. Ratio decidendi: the reason for the decision made by the judges. Obiter dictum: observations made by judges in explaining or further clarifying their decisions. 2- Copyright © 2000 McGraw-Hill AustraliaCopyright 2009 McGraw-Hill Australia Pty Ltd PPTs t/a Fundamentals of Business Law 6e Precedents Binding precedent: Courts must follow the ratio decidendi of judgements made in higher courts in the same court hierarchy. Persuasive precedent: Courts may follow the ratio decidendi of all other courts not higher than them in the same court hierarchy, or the obiter dicta of all courts. 2- Copyright © 2000 McGraw-Hill AustraliaCopyright 2009 McGraw-Hill Australia Pty Ltd PPTs

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