Aurora City v. West (1868)
In Aurora City v. West (1868), 74 U.S. 82, it was said by the Supreme Court of the United States:
"The doctrine of estoppel by a former judgment between the same parties is one of the most beneficial principles of our jurisprudence, and has been less affected by legislation than almost any other."
"The better opinion is that the estoppel when the judgment was rendered on its merits, whether on demurrer, agreed statement, or verdict, extends to every material allegation or statement, which having been made on one side and denied on the other, was at issue in the cause and was determined in the course of the proceedings. Associate Justice Miller dissented in the case, on the ground that the decision was in some respects too broad, but he gave full adherence to the proposition here stated, as follows: "It is true that some of the earlier cases speak as if everything which might have been decided in the first suit must be considered as concluded by that suit; but this is not the doctrine of the courts of the present day, and no court has given more emphatic expression to the modern rule than this. That rule is that when a former judgment is relied on, it must appear from the record that the point in controversy was necessarily decreed in the first suit or be made to appear by extrinsic proof that it was in fact decided."