On the merits refers to a legal decision based on the facts in evidence and the law pertaining to those facts, because the judge considers technical and procedural defenses to be overcome or irrelevant.

This is related somewhat to equity, a group of rights and procedures intended to provide fairness, unhampered by technical requirements of the law. In either case, the court tries to "do the right thing".

King Edward III of England first established the separate High Court of Chancery to reach decisions based on equity or fairness, as opposed to the strict terms of the Common Law. Since then, most jurisdictions have merged courts of law and courts of equity into one court system.

Four American states (Arkansas, Delaware, Mississippi, and Tennessee), have retained separate Courts of Chancery. Delaware advertises to businesses that incorporation in their state is advantageous because of their streamlined and efficient bureaucracy and legal system, which includes a chancery court for business matters.

See also