Question

I. Judicial Decision (Civil Code, Art. 8)

Scenario:

Judith and Robert entered into a business partnership to open a restaurant. They agreed to divide the profits and losses equally between them, and each of them invested a substantial amount of money into the venture. However, they soon found themselves in disagreement over the management of the restaurant and the allocation of resources.

Judith believes that they should hire additional staff to improve service quality, while Robert insists on cutting costs by reducing the number of employees. Unable to resolve their differences, they decide to seek a legal remedy and bring the matter to court.

During the court proceedings, Judith's lawyer argues that their partnership agreement should be interpreted in light of recent judicial decisions that favor the interests of employees in cases involving labor disputes. On the other hand, Robert's lawyer argues that only the terms explicitly stated in the partnership agreement should be considered and that judicial decisions should not be applied retroactively to alter the rights and obligations of the parties involved.

Question:

1. Discuss the principle of judicial decision making under Article 8 of the Civil Code in relation to the scenario presented.
2. What factors should the court consider in determining the applicability of judicial decisions in resolving the dispute between Judith and Robert?