Happy to help. The question asks us to select the answer that best describes the relationship between a judicial holding and a judicial decision. The relevant lines for this answer are lines 26 through 31, which describe judicial decisions and judicial holdings.
In reading the passage, we find that judicial decisions are written opinions that contain two parts: the holding and the dicta. We're told that the holding contains the decision for or against the plaintiff and the essential grounds or legal reasons for it, which is what subsequent judges are bound by). From this, we know that the holding contains both the decision as well as an explanation for it.
In the answer choices, we're looking for the one that best matches our prediction.
Answer A is incorrect because it says that the holding is not commonly considered binding on subsequent judges. This is false; we know that holdings are considered binding based on the passage.
Answer B says that the holding formally states the outcome of the case, while the decision explains it. This is incorrect because the holding also explains the judicial decision, as we read in the text.
Answer C is incorrect because it says that the holding does not include the decision. This is false; the passage states that the holding includes the decision for or against the plaintiff.
Answer D is incorrect because it says the holding consists of the dicta. this is not true; we know that the holding and the dicta are two separate components of a judicial decision. The holding does not consist of the dicta.
Answer E is correct. It says that the holding sets for and justifies a decision. This is a paraphrase of our prediction. We said that the holding contains both the decision as well as an explanation for it. This answer is about as good of a paraphrase as we could have hoped for, and it's our choice.
Does this make sense? Let us know if you have more questions!
