LAW 122 Lecture Notes - Lecture 13: Alternative Dispute Resolution, Precedent

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Court of canada sits atop every hierarchy, its decisions must be followed by all. The rule of law states that disputes should be settled on the basis of laws, rather than on the basis of personal opinions. The concept of a hierarchy and the doctrine of precedent support the rule of law by requiring judges to follow the courts above them. Especially if there is a binding precedent on point, the judge has no choice but to follow the settled rule. Litigation is not a very attractive option in the circumstances. Omicron"s sales are to sigma, and given that sigma apparently could purchase its supply of widgets from another manufacturer, omicron probably needs to resolve the issue quickly and amicably. It cannot afford to lose half of its sales, either temporarily while the dispute drags on, or permanently if litigation"s adversarial nature causes a rift between the parties. Several other factors also militate against the litigation option.

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