It captures the totality of events which entitles one person to sue another in a court of law. In order to bring any action to court, it must be clear that certain events have taken place which call for court intervention. If it does not, such a case will be rejected (struck out) by court.

Let us assume that an employee is, by letter of employment, entitled to a month's notice before his employer may terminate his employment. Recently, he is told by fellow employees that their employer is planning to terminate his employment without notice. If he files an action, only because of what he has heard from other workers, to stop his employer from dismissing him without the required notice, the action is bound to be struck out for lack of a cause of action.
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Cash flow Cause list Cause of action Caveat Caveat emptor