Summary

Portrait of Benjamin N. Cardozo Benjamin N. Cardozo Great Northern Railway Company v…

We think the Federal Constitution has no voice upon the subject. A state in defining the limits of adherence to precedent may make a choice for itself between the principle of forward operation and that of relation backward. It may say that decisions of its highest court, though later overruled, are law none the less for intermediate transactions.
Source: Wikisource

Portrait of Benjamin N. Cardozo Benjamin N. Cardozo Great Northern Railway Company v…

The state of Montana has told us by the voice of her highest court that, with these alternative methods open to her, her preference is for the first. In making this choice, she is declaring common law for those within her borders. The common law as administered by her judges ascribes to the decisions of her highest court a power to bind and loose that is unextinguished, for intermediate transactions, by a decision overruling them. As applied to such transactions, we may say of the earlier decision that it has not been overruled at all.
Source: Wikisource

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