The role of the courts in making common law in Australia involves the reinterpretation of statues and past precedents or common law. This is done to ensure that the decisions reached are reflective of the values of society at the time and the facts upon which he case is based. The use of precedents and the constant reinterpretation and expansion taking place within our legal system allows the development of law to be a continual and gradual process which accommodates the needs of society to the greatest extent possible. Precedent is the use of a past decision reached on a case in a court of equal or higher standing to the court which he case is being presented to. The use of precedent is designed to ensure the principled and consistent application of law in all levels of court in Australia and other countries operating under the same court hierarchical system. Precedents are applied to cases when the �ratio dicidendi� of a previous case decided in a higher court is similar enough to the ratio of the case being dealt with. Under our system, precedents handed down by the high court ......

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