Promissory Estoppel Flashcards
The Three Elements of Promissory Estoppel
- A promise
- A detrimental reliance on such promise
- Injustice can be avoided only by enforcement of the promise
Professor Grant Gilmore
Promissory Estoppel and Classical Doctrine are matter and anti-matter
Harvey v. Dow
Daughter builds house on parent’s property.
1. A promise that land would be transferred. (not express, implied a promise by conduct)
2. A detrimental reliance - She spent 200,000 building a house on the land
3. Injustice cannot be avoided - Parents helped her build the house and she spent her insurance money to build it…it would be unjust to not enforce the promise.
Tozier v. Tozier
2nd restatement § 90 Promissory Estoppel Definition (1)
A promise which the promisor should reasonably expect to induce action or forbearance on the part of the promisee or a third person and which does induce such action or forbearance is binding if injustice can be avoided only by enforcement of the promise. The remedy granted for breach may be limited as justice requires.
2nd restatement § 90 Charity Kicker
A charitable subscription or a marriage settlement is binding under Subsection (1) without proof that the promise induced action or forbearance.
Tozier v. Tozier
In the context of the transfer of land, when the donee has made substantial improvements to the land in reliance upon the promise to convey the land, courts will enforce the promise to convey.
Greiner v. Greiner
Son moves based on promise. Like a stronger tramp consideration. Mother/son relationship.
When is reliance reasonable?
a) Whether it was reasonable for the plaintiff to rely at all
b) Whether the manner and degree of her reliance was reasonable.
Wright v. Newman
Non-Biological Father made implicit promise by behaving like the father. Reliance by ex-wife and third party, in this situation the child. Supported claim of promise to support child support.
Katz v. Danny Dare
§ A Promise
□ The pension plan.
§ Reliance on Promise
□ Katz retired because of the pension plan, he relied on the income it provided in perpetuity.
§ Injustice can be avoided only by enforcement of the promise
□ Katz can’t work full time and the payments continued for about three years.
It’s important to realize that the options for Katz were being fired for his disability or taking the pension. He could not continue working at the company so what exactly did he do? Change of position**
Vastoler v American Can co
Was actually promoted!! but enticed by promise of pension he did not receive. Change of position example. This really wasn’t all that detrimental.
Promissory Estoppel level 9000 stuffz
Promissory estoppel three part test 1st restatement , 2nd restatement.
Allgheny College v. National Chautauqua County Bank
i) Binding based on implied promise to memorialize the donor’s name.
ii) In dictum also indicated that the doctrine of promissory estoppel could be used to enforce donative promises that had been relied on by charities.
iii) Mostly a public policy issue.