This week’s financial lesson from the case book is the doctrine of justiciability. Justiciability is a legal doctrine that limits what cases courts can and can’t hear. It’s broken down into four other sub-doctrines: standing, ripeness, mootness, and political questions.
One of the reasons for justiciability is to conserve court resources. Imagine if there weren’t any filters on what cases are appropriate for hearing. There would probably be tons of frivolous law suits clogging up our already stuffed court system. As a consequence, courts would have to spend more money in effort to alleviate the strain. Justiciability avoids this problem.
How can you apply the doctrine of justiciabilty in your financial life?
Create a budget. Make it very clear what you will and will not spend money on. As a consequence, you won’t clog up your accounts with frivolous purchases and conserve your personal financial resources.