-where a point of law has not been decided before so the decision the judge makes will form a new precedent for later cases to follow
-once the precedent is declared, it will be binding and original precedent
Case 1 --> Rylands v Fletcher
-courts decided a claim can be brought when the D has stored something on their land and then escapes, causing damage to the claimants land
Case 2 --> Donoughue v Stevenson
-RD created the neighbour principle for establishing a duty of care negligence