Abstract: The subject of this research is the processes and genesis of the evolution of realistic approach towards the methodology of judicial interpretation in comparison to formalistic style of judicial interpretation. Based on the references of the works of the representatives of the school of free will, American and Scandinavian legal realism, as well as modern neorealism, the author determines the key characteristics of the genesis and evolution of realism as a style of judicial interpretation, expounds the trends of its development, answers the question of causes for the leading position of this approach in the modern legal doctrine, primarily in other countries, as well as the policy of judicial interpretation. The novelty of the conducted research consists in determining the trends of evolution of the realistic approach, which evolved (1) from recognition of ambiguity of the meaning of the legal text as the object of interpretation – to the thesis on excessiveness of text for execution of the act of interpretation; (2) from recognition of allowability of textual substitution of interpretation – to establishing the exclusivity of creative interpretation as a specific function of the court; (3) from recognition of limitation of the cognitive function of interpretation – to establishing voluntaristic nature of the act of interpretation; (4) from recognition of institutional limitations, placed on the courts by the principle of delegation of power – to establishment of judicial authority as a new subject of sovereignty.