Which term refers to legal decisions that establish precedent principles?

The term that refers to legal decisions that establish precedent principles is case law. Case law is derived from the judgments made by courts in individual lawsuits and dictates how laws are interpreted and applied in future cases. When a court renders a decision, it may set a legal precedent that lower courts are obliged to follow in future similar cases, thus shaping the interpretation of laws over time.

Statutory law, in contrast, consists of laws that have been enacted by legislative bodies, such as Congress or state legislatures. While statutory laws can complement case law, they do not evolve from judicial rulings.

Ordinance law pertains to laws enacted by local governmental bodies, such as city councils, and is often limited to specific local issues or regulations rather than broader legal principles established through judicial decisions.

Common law is closely related to case law, as it encompasses law developed through court decisions rather than through statutes or regulations, but it is a broader category that includes not only established case precedents but also principles derived over time. In this context, case law specifically highlights the decisions that create binding precedents.