Proprietary Estoppel

Question 1

What is proprietary estoppel

Answer 1

Where one person makes a promise or assurance to someone else. If the promise is relied on to the detriment of the person the person who made the promise is estoppel from going back on their promise because it would be unconscionable to do so

Question 2

Willmott v Barber [1880]
Doctrine of Encouragement

Answer 2

1. The claimant must have made a mistake as to their legal rights
2. The claimant must have spent money or done some act of faith on their belief
3. The defendant must know of the existence of their own right
4. The defendant must know of the claimants mistaken belief
5. The defendant must have encouraged the claimant in their expenditure

Question 3

Taylor Fashions Ltd v Liverpool Victoria Trustees co Ltd [1982]

Answer 3

A representation or assurance
A reliance on the assurance
Detriment suffered in reliance on the promise
Unconscionability

Question 4

Moore v Moore [2016]

Answer 4

Stephen Moore was promised the farm and family business. Stephen relied on the promise and had forgone other better paying career opportunities. It would be unconscionable if the promise was not honoured and he was awarded the farm

Question 5

Thorner v Major [2008]

Answer 5

David Thorner claimed proprietary estoppel having worked on Peter Thorners farm without pay for 30 years having relied on implied understanding that he would inherit the farm. It was held that David could not point to clear statements so his claim was denied. However his appeal to the House of Lords was successful

Question 6

Gillett v Holt [2000]

Answer 6

The defendant made promises to leave the farm to Mr Gillett and he did make a Will to this effect but after a falling out changed this. It was held it was unconscionable to change this and the claimant was awarded the farm and £100,000

Question 7

Difference between proprietary estoppel and constructive trust

Answer 7

In a constructive trust the court recognised a beneficial interest has arisen and quantifies. In proprietary estoppel the court decides whether and equity has arisen and then the court gives effect to a remedy.
In proprietary estoppel the claimant may not receive all they expect. In registered land estoppel can be protected by entry on the register

Question 8

Yaxley v Gotts [1999]

Answer 8

A buyer of a house had orally agreed to grant a builder an interest in the house in return for labour and materials. The property was converted into flats and the claimant proposed ownership of the ground floor in return for work. He was then excluded from the property. The Court of Appeal held that the claimant was entitled to a 99 year lease

Question 9

Bare licences

Answer 9

A bare licence is a personal permission to enter someone else’s land or to do something on it

Question 10

Licences coupled with an interest

Answer 10

The licence is collateral to the interest eg a right to pick mushrooms

Question 11

Contractual licences

Answer 11

Where the licensee provides valuable consideration for the permission of the licensor