Res Judicata


The old Latin legal phrase, res judicata, means a thing already decided and settled. Res judicata is a legal principle quite consistently followed by almost all courts. It is the rule that a final judgment or decree on the merits of a matter by a court of competent jurisdiction will be final and conclusive as to any later lawsuit on all points or matters determined in the former suit. This means that between the parties themselves the dispute is closed at the conclusion of trial. However, this does not prevent a lower court decision from being appealed to a higher court.

This principle of res judicata prevents  an unsuccessful litigant from taking an unfavorable decision to another trial court for a second lawsuit on the same complaint or same set of facts. Res judicata applies between the parties in a civil lawsuit, affecting those parties and no others.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

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Knowing about Cartel


A cartel is a group of firms combining to restrict output and raise price, the aim being to balance as a collective monopoly. Each firm in a cartel agrees to produce less than it would under unrestrained competition, in order to drive the price up so that all in the group will benefit.

Cartels can only raise prices by cutting firm outputs. But at the higher prices, member firms are motivated to produce even more than at competitive equilibrium. So the more successful the cartel, the greater the incentive to chisel. Carters therefore require enforcement devices to prevent chiseling. In a number of European countries, the law may treat a cartel agreement as a legality enforceable contract. Some jurisdictions take a neutral position: the cartel agreement is not unlawful, but the power of the state will not enforce it. Finally, the law may be actively hostile to cartels as “consipiracies in restraint of trade.” In such a situation a cartel would require enforcement devices that are both effective and secret—an unlikely combination when any detected chiseler can complain to the authorities.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, Line of Sight