The effect of the rule of res judicata is preclusive. It prevents a party and his or her privies from asserting a position, a claim, or defence. Issue estoppel precludes a litigant from asserting a position that is inconsistent or contrary to a fundamental point decided in a past proceeding in which the litigant or his or her privies participated. Cause of action estoppel precludes a litigant and his or her privies from asserting a claim or a defence that it asserted (cause of action estoppel) or had an opportunity of asserting in past proceedings (the rule from Henderson v. Henderson).
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