What is promissory Estoppel?

Question

The proper definition of promissory estoppel and how it applies to business law.

Answer 1

Black's Law Dictionary defines "promissory estoppel" as: The principle that a promise made without consideration may nonetheless be enforced to prevent injustice if the promisor should have reasonably expected the promisee to rely on the promise and if the promisee did actually rely on the promise to his or her detriment.

One practical application of promissory estoppel applies to the reasonable expectation that a promise will be fulfilled without a contract. In every contract, there is give and take. One party provides a good or service (performance) in order to get something in return (consideration). Promissory estoppel can apply in a situation where an actual contract does not exist.

Here's an example: Let's say you had a big tree in your front yard that fell over in a windstorm, and now the tree is blocking part of your street. Someone from the city comes out and orders you to get that portion of the tree that is blocking the street out of the way by Monday, or you'll be fined $500.00 for every day that tree is blocking the street. Your neighbor overhears the conversation and says "Hey, I'll come over this weekend with my chain saw and cut the tree up so you can haul the stuff in the street out of the way." Well, the weekend passes and your neighbor never comes out to cut up the tree, so now you're facing $500.00 a day in fines, plus the fee to have a tree removal service come out and cut up the tree.

You decide to take your neighbor to small claims court, and you're suing for the cost of the fines and the fees to have the tree removed. Your neighbor, who has consulted a lawyer buddy of his, tells the judge that the promise could not be legally enforced because you didn't offer or promise any consideration for services rendered; therefore there was no contract. Under the doctrine of promissory estoppel, you could prevail in this case because (a) your neighbor made you a promise, (b) your neighbor should have reasonably expected you to rely on that promise, (c) you actually DID reasonably rely on that promise, and (d) you suffered a personal detriment -- financial damages -- as a result of relying on that promise that your neighbor did not fulfill.

Does that help?

Answer 2

eh, I guess it's possible. But that person would look bad because they're the ones that decided to do it. Now, if Harold Camping TOLD us, that we should do as you said (neglect bills, run up debt, etc) then Yes, he can be sued, and they will probably win. But since he didn't they can sue, but they probably wouldn't win. But he should be arrested for scaring half of americans as much as he did. PS - It's 6:54... He's so dumb.

Answer 3

A noncontractual promise is enforced because an injustice would apply if not.