What is the difference in usage between "that" and "which"?

We are discussing “that” and “which” as relative pronouns. The following applies only to this usage. The basic rule is “that” is for restrictive use and “which” is for nonrestrictive use. This distinction is a hallmark of American English and much less so of British English. Restrictive “The house that Jack lived in is around the corner.” Nonrestrictive: “The red house, which Jack lived in, is around the corner.” “That” is never preceded by a comma. Preferably, in most situations, “which” is preceded by a comma (and its parenthetic clause proceeded with a comma). It’s worth noting that this distinction is explained in great detail in Fowler’s Modern English Usage, where the terms “defining” and “nondefining” are used. So, it’s been a feature of good usage for a long time