Res judicata is the generic term for a group of related concepts concerning the conclusive effects given final judgments. Within this general doctrine there are two principal categories: (1) claim preclusion—also known as res judicata; and (2) issue preclusion—also known as collateral estoppel.
These legal doctrines generally preclude litigants from relitigating claims and issues that were previously litigated to a final resolution or judgment.
In New Jersey, res judicata, also known as claim preclusion, prevents a party from relitigating a claim that has already been judged on its merits by a competent court and has reached a final judgment. Once a final judgment is rendered, the same parties cannot bring a new lawsuit based on the same cause of action. Issue preclusion, or collateral estoppel, is a related concept that bars the re-litigation of specific issues that were already decided in a previous final judgment. This applies even if the subsequent lawsuit is based on a different claim, provided that the issue was essential to the prior judgment, was actually litigated, and the party against whom the doctrine is invoked had a full and fair opportunity to litigate the issue in the previous case. These doctrines are meant to promote judicial efficiency, respect court decisions, and protect parties from the burden of multiple lawsuits on the same matter.