When is Halacha Binding?

If all Jews are supposedly required to follow the Shulchan Aruch, why do Ashkenazim follow the Rema when he disagrees with the Shulchan Aruch, and why do Yemenite Jews follow the Rambam’s rulings instead of the Shulchan Aruch? Are Ashkenazim and Yemenites obligated to follow the Shulchan Aruch as it is, or are they allowed to follow their own traditions (Rema and Rambam), and what is the halachic reasoning for this?

Shalom!

Thank you for your question.

You are correct, in that halachic practice follows community norms.

The Ashkenazi world accepted the Rema's comments and changes to the rulings of the Shulchan Aruch and the Yemenite community accepted the rulings of the Rambam, and the like.

While there are some exceptions to these rules, community norms define halacha observance (although it needs to be always determined that the Halacha is correct). The Talmud in Pesachim 50b and 66a is a good example of this.

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