As it pertains to a given situation

The interpretive theory is known as contextualism, but judges or justices who are proponents of contextualism (and/or a Living Constitution) are often also accused of being judicial activists.

contextualism--look at clues surrounding the passage to infer its meaning.

literalism--interpret exactly as written

It is also clear that the two are not necessarily mutually exclusive. The context may well determine whether a certain passage is to be taken literally or figuratively. Thus, a literal interpretation is called for unless indicated otherwise by the context. The two go hand in hand.

Lewis Edwin Hahn has written:

'A contextualistic theory of perception' -- subject(s): Perception

'A contextualistic worldview' -- subject(s): Contextualism (Philosophy), Philosophy, American

'The Philosophy of Chisholm (Library of Living Philosophers, V.8)'

'The Philosophy of Donald Davidson'

A form of criticism which views the literary text as a self-contained verbal structure. Akin to the New_Criticism, contextualism holds that a work of art generates self-referential meanings within its own internal and autonomous context. Its proponents include Cleanth Brooks, Eliseo Vivas, and Murray Krieger.