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The doctrine of precedent is a form of reasoning and decision-making formed by case law. If a higher court has made a significant legal point in one case, it would be considered as binding in later courts.
There are two basic types of precedent in the United States: persuasive and binding precedents. A binding precedent is one that must be followed in the court of law, whereas a persuasive precedent encompasses an interpretive aspect that can suggest a court of action. legal precedent is derived from case or pas judicial decisions rendered in previously-heard legal cases. All precedents, unless overturned by a higher court or more recent decision, are legally binding and attached to legal matters given the presence of similarities in the underlining legal case.