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Legal, Titles & Closing

Common Law

Definition and meaning of Common Law in real estate.

Common law is a body of law derived from judicial decisions and custom, rather than from written laws passed by a legislature.

In more detail

Unlike statutory law, which is created by legislative bodies, common law builds on historical legal precedents set by judges in past cases. Courts look to these earlier rulings to resolve current disputes, ensuring consistency in how the law is applied. While modern state statutes have replaced or modified many common law rules, these traditional principles still form the foundation of property rights.

For example, the concept of a property owner's rights to the air above and the ground below their land originated under common law. Understanding these rules helps buyers and real estate professionals navigate contract disputes and easement issues.

Key facts

CategoryLegal, Titles & Closing
Source of lawJudicial decisions and historical customs
Applies toContract disputes, property rights, and agency duties
Varies byState court systems, though general principles are similar nationwide
Example

A dispute over an unwritten easement is resolved by a judge who applies common law principles regarding long-term, continuous usage of a path across a neighbor's land.

Frequently asked questions

How does common law differ from statutory law in real estate?

Common law is developed through court rulings over time, while statutory law consists of written bills passed by federal, state, or local legislative bodies.

Are common law property rights still valid today?

Yes, common law rights remain valid unless a state legislature passes a specific statute that overrules or replaces the common law principle.

Related terms

Sources & references

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