What is the estoppel of a promise?
Asked by: Alicia Luettgen | Last update: June 12, 2025Score: 4.8/5 (22 votes)
Within contract law , promissory estoppel refers to the doctrine that a party may recover on the basis of a promise made when the party's reliance on that promise was reasonable , and the party attempting to recover detrimentally relied on the promise.
What is an example of a promissory estoppel?
Promissory Estoppel Example
Joe, a subcontractor working on a construction project, tells Robert, the owner of the property, that the general contractor is behind in payments. Robert promises that Joe will be paid in full and tells Joe to complete the work. Joe completes his work, but never receives full payment.
What is the meaning of estoppel in simple terms?
Estoppel is an equitable doctrine , a bar that prevents one from asserting a claim or right that contradicts what one has said or done before, or what has been legally established as true. Estoppel may be used as a bar to the re-litigation of issues or as an affirmative defense .
What are the grounds for promissory estoppel?
- A clear and unambiguous promise communicated to the Offeree-Plaintiff.
- Detrimental reliance by the Plaintiff.
- The reliance must be both objectively reasonable and foreseeable. and.
- Unconscionable detriment/injury suffered by Plaintiff.
What damages are recoverable in a case of promissory estoppel?
In a promissory estoppel case, the court in its discretion can award either detrimental reliance damages or expectation damages (including specific performance), whichever it determines better avoids injustice.
What is Promissory Estoppel? [No. 86]
What are the 5 elements of promissory estoppel?
In analyzing the application of section 90, the Washington courts have established five requirements for recovery in promissory estoppel: “(1) a promise which (2) the promisor should reasonably expect to cause the promisee to change position and (3) which does cause the promisee to change position (4) justifiably ...
What are the consequences of promissory estoppel?
Consequences. An agreement made by promissory estoppel will typically have the same binding effects on parties that a valid contract would. If a party breaches an obligation created by promissory estoppel, a court can choose to assign either reliance damages or expectation damages .
What are the four requirements of promissory estoppel?
- The defendant made a clear and unambiguous promise.
- The plaintiff acted in reliance on the defendant's promise.
- The plaintiff's reliance was reasonable and foreseeable.
- The plaintiff suffered an injury due to reliance on the defendant's promise.
Can you sue someone who promised you money?
The short answer is yes, you may have a claim for someone who broke a promise to you. Now, depending on the nature of that promise, we may have different types of the cause of action that could be brought. The most common that I see is a breach of contract.
Can you sue someone for promissory estoppel?
A plaintiff bringing a breach of contract claim may plead promissory estoppel in the alternative, along with other equitable claims. Court Opinions. That way, if the court finds no valid contract existed, a plaintiff can still recover under promissory estoppel if the required elements are met.
What is the rule of promissory estoppel?
The true principle of promissory estoppel is where one party has by his words or conduct made to the other a clear and unequivocal promise which is intended to create legal relations or effect a legal relationship to arise in the future, knowing or intending that it would be acted upon by the other party to whom the ...
Who pays for estoppel?
There is a fee for the Estoppel Certificate which is determined by the property management company and regulated by the condominium property law. Rush fees may be applicable. The cost of the Estoppel Certificate is the seller's responsibility.
What is the point of an estoppel?
“The purpose of an estoppel statement is twofold: (1) to give a prospective purchaser or lender information about the lease and the leased premises and (2) to give assurance to the purchaser or lender that the les- see at a later date will not make claims that are inconsistent with the statements contained in the ...
What three conditions are met for promissory estoppel?
Requirements of Promissory Estoppel
The promisee believed the promisor, and acted on that promise in good faith; The promisor later reneged on that promise causing financial harm to the promisee; and. The nature of the promise is such that the only way to avoid injustice is by enforcing the promise.
How to defend against promissory estoppel?
The defendant can argue that there was no unequivocal promise and that the alleged promise was too vague or uncertain to enforce. In support, the defense could proffer the documentation allegedly resulting in the reliance or bring a witness that can testify about the extent of the promise made.
What are the conditions for estoppel?
In order for party A to get an estoppel against party B there needs to be evidence of: B has provided clear and unequivocal communication as to a given situation or alternatively, there is some kind of shared understanding between the two parties.
Are promises legally enforceable?
Thus, a promise may be enforceable to the extent that the promisee has incurred substantial costs, or conferred benefits, in reasonable reliance on the promise. Promissory estoppel under Section 90 of the Restatement of Contracts is the primary enforcement mechanism when action in reliance follows the promise.
What to do when someone owes you money and ignores you?
Even if the debtor doesn't answer you, you should ask them multiple times for the exact dollar amount they owe. It is a good idea to tell them you will pursue legal action as a next step. You can also consider professional collection agency services that work to retrieve personal loans.
What happens if you sue someone and they can't pay?
The California statute of limitations for filing a judgment is ten years. If the debtor cannot pay or complete payment within this time, you must renew the judgment. The judgment must continue to be renewed to ensure the debtor pays the full amount.
What is the mirror rule?
In contract law , the “mirror image rule” is a doctrine stipulating that any acceptance of an offer is deemed to be an unconditional assent to the terms of the offer exactly as it is, without any changes or modifications .
When can a mentally incompetent person void a contract?
Contract Law
Mental incompetents lack the capacity to understand the contract. A contract with someone deemed incompetent is voidable unless the contract involves a person who has legal guardianship of them. If the incompetent person continues to retain benefits, the contract gets implied affirmed.
What does estoppel mean in law?
Estoppel is part of common law. It is a legal principle that prevents someone from going back on their word to someone else and unfairly causing damage to someone else. If legal action is taken, the court can stop (or estop) an individual from rescinding a promise made to another party.
What damages can you recover under promissory estoppel?
Damages, however, are limited to reliance damages, which means the amount of harm suffered because of the reliance on the promise. While courts generally prefer to award expectation damages, which means the full promised value of the agreement, these are not necessarily available in promissory estoppel cases.
How to prove promissory estoppel?
To recover based on promissory estoppel in the context of what would otherwise be an employment at will, the employee must show that a promise of discharge only upon just cause was “clear and definite,” as well as one that the employer promisor would reasonably expect to cause the employee promisee to change position ...
What is meant by quantum meruit?
Quantum meruit means "the amount one deserves" or "as much as one has earned". In most cases, it denotes a claim for a reasonable sum in respect of services supplied to the defendant.