Promissory Estoppel

Question 1

Promissory Estoppel

Answer 1

Even when the promissee promises nothing in return for the promise, then the promise might still be upheld if the promisee relies on the promise.

Question 2

Section 90 of Restatement (First) of Contracts

Answer 2

a promise which a promisor should reasonably be sure should induce action of a definite of substantial nature and which does induce such action or forebearance is binding if injustice can be avoided only by enforcing the promise.

Question 3

Fried v. Fisher

Answer 3

Where a landlord promised to release the renter from the obligation of the lease, and the renter therefore left town to open a new business, the renter could enforce the landlord’s promise because the renter relied on it to his detriment/to open his own business.

Question 4

Case4

Answer 4

Promised to pay employee money for the rest of her life. The court enforced that promise because the employee relied on that promise and wasn’t able to work.

Question 5

Case5

Answer 5

A business was wanting to sell a business to another company.

1) was the promise one which the promisor should reasonably expect to induce action or forbearance of substantial character?
2) Did the promise induce such forbearance?
3) Can injustice be avoided only by enforcement of the promise?

The primary consideration is whether the promisee has suffered in reliance of th epromise. He should not be placed in a better situation than if the promise had been kept.

Question 6

Zemen

Answer 6

Lufthansa had promised to rent land form the developor and the developer relied on this promise to change the construction. The question was whether the change in construction plans was substantial economic losses to enforce the promise.

Question 7

Kirksey

Answer 7

Lack of promissory estoppel leads to unequitable results.