Law is a system of rules enforceable by institutions created and sanctioned by society to regulate conduct and protect liberties. It serves four principal functions: establishing standards, maintaining order, resolving disputes and protecting rights and liberties. It is distinguished from autocracy or dictatorship by the principle that everyone, including those in positions of authority, is subject to the laws. Laws can be made by legislatures, resulting in statutes; by the executive, resulting in decrees and regulations; or by judges through decisions, resulting in case law. Private individuals can also create legally binding contracts, such as insurance contracts and real estate transactions, or create arbitration agreements that adopt alternative ways of resolving legal disputes to standard court litigation.
Different jurisdictions adopt different systems of law. For example, the United States employs a common law system whereby laws are derived from judge’s decisions on cases that have been brought to trial. Other countries, like Japan, have a civil law system where laws are derived from written codes that explicitly specify the rules that judges must follow in order to come to a decision.
The law covers a broad range of topics and is continually evolving as society changes and new issues arise. For instance, banking law concerns the amount of capital that banks must hold as well as best practices for investments. Water law, for example, addresses the management of a public service, such as the distribution of water to consumers. Labour law concerns the tripartite relationship between worker, employer and trade union, as well as a citizen’s right to a fair trial or hearing. Evidence law deals with which materials are admissible in courts in order to build a case.