The Doctrine of Precedent is a legal principle that requires courts to follow the rulings of previous cases when making decisions in similar cases. This ensures consistency and predictability in the law, allowing individuals and businesses to understand their rights and obligations. When a higher court makes a ruling, lower courts are generally bound to follow that decision, creating a hierarchy of legal authority. In this system, the decisions made by courts become part of the law, known as case law. The principle is essential in common law jurisdictions, where it helps to develop and refine legal rules over time. By adhering to established precedents, the legal system promotes fairness and stability.