An identical issue refers to a specific point of fact or law that has been previously litigated and determined in a prior case, which is relevant to the resolution of the current case. This term is crucial in the context of issue preclusion, as it signifies that the same issue was raised and decided in both cases, making it binding for the parties involved in subsequent litigation. Establishing an identical issue is key to preventing the same issue from being re-litigated and ensuring judicial efficiency.