{"id":364168,"date":"2016-04-04T10:44:25","date_gmt":"2016-04-04T15:44:25","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-law\/dictionary\/definition\/promissory-estoppel.html"},"modified":"2021-05-05T08:19:56","modified_gmt":"2021-05-05T13:19:56","slug":"promissory-estoppel","status":"publish","type":"dictionary","link":"https:\/\/dictionary.findlaw.com\/definition\/promissory-estoppel.html","title":{"rendered":"Promissory Estoppel"},"content":{"rendered":"\n<div class=\"fl-index-heading\">\n    <p>term:<\/p>\n    <h1 class=\"fl-h1 fl-mb20\">Promissory Estoppel, n<\/h1>\n\n    <dl class=\"fl-index-heading-description-list\">\n        <dd><h2>What Is Promissory Estoppel?<\/h2>\n<p>Promissory estoppel is a legal doctrine that states that if someone reasonably relies on a promise and acts (or fails to act) in a way that causes them financial harm because of that promise, the promise can be enforced.<\/p>\n<p>This is an alternative claim to a&nbsp;<a href=\"https:\/\/www.findlaw.com\/smallbusiness\/business-contracts-forms\/breach-of-contract-and-lawsuits\" title=\"Breach-of-contract-and-lawsuits\" target=\"_blank\" rel=\"noopener\">breach of contract claim<\/a>. You might bring a promissory estoppel claim when you have an oral contract that usually should have been in writing (because of what is called the&nbsp;<a href=\"https:\/\/dictionary.findlaw.com\/definition\/statute-of-frauds.html\" title=\"Statute of frauds\">statute of frauds<\/a>) or when your agreement didn&#8217;t include&nbsp;<a href=\"https:\/\/dictionary.findlaw.com\/definition\/consideration.html\" title=\"Consideration definition\">consideration<\/a>.<\/p>\n<h2>Promissory Estoppel Elements<\/h2>\n<p>Each state has different elements you must meet to make a promissory estoppel claim, but the law typically requires that:<\/p>\n<ol>\n<li>Someone (the defendant) made a&nbsp;promise to you<\/li>\n<li>You reasonably relied on the promise, causing you to act or not act as a result<\/li>\n<li>You were harmed as a result of your reliance on the promise<\/li>\n<li>The defendant should have expected that you would rely on the promise<\/li>\n<li>The only way to avoid injustice is by enforcing the promise<\/li>\n<\/ol>\n<h2>Promissory Estoppel Cases and Law<\/h2>\n<p>U.S. states differ on when&nbsp;promissory estoppel&nbsp;applies, so it&#8217;s a good idea to look up your state&#8217;s laws.&nbsp;Here are examples of cases and laws in the U.S. that discuss or help define promissory estoppel:<\/p>\n<ul>\n<li><a href=\"https:\/\/codes.findlaw.com\/us\/title-29-labor\/29-usc-sect-1132.html\" title=\"29 U.S.C.A. section 1132(a)(1)(B),(3)\" target=\"_blank\" rel=\"noopener\">29 U.S.C.A. section 1132(a)(1)(B),(3)<\/a>: Right to bring an action for equitable relief<\/li>\n<li><a href=\"https:\/\/caselaw.findlaw.com\/court\/us-supreme-court\/501\/663.html\" title=\"Cohen v. Cowles Media Co. (1991)\" target=\"_blank\" rel=\"noopener\">Cohen v. Cowles Media Co. (1991)<\/a>: The First Amendment does not prohibit promissory estoppel claims involving a newspaper publishers&#8217; breach of a confidentiality promise.<\/li>\n<li><a href=\"https:\/\/caselaw.findlaw.com\/court\/ca-supreme-court\/1402854.html\" title=\"Kajima\/Ray Wilson v. Los Angeles County Metropolitan Transportation Authority\" target=\"_blank\" rel=\"noopener\">Kajima\/Ray Wilson v. Los Angeles County Metropolitan Transportation Authority<\/a>&nbsp;(CA, 2000): A top bidder on a public works project who was denied the project could recover bid preparation costs under promissory estoppel, but not profits.<\/li>\n<li><a href=\"https:\/\/caselaw.findlaw.com\/court\/id-supreme-court\/1058391.html\" title=\"Grover v. Wadsworth\" target=\"_blank\" rel=\"noopener\">Grover v. Wadsworth<\/a>&nbsp;(Idaho, 2009): Example of a state&#8217;s elements of promissory estoppel<\/li>\n<\/ul>\n<h2>Promissory Estoppel Example<\/h2>\n<p>Joe, a subcontractor working on a construction project, tells Robert, the owner of the property, that the general contractor is behind in payments.&nbsp;<i>Robert promises that Joe will be paid in full and tells Joe to complete the work.<\/i>&nbsp;Joe completes his work, but never receives full payment. Joe brings a promissory estoppel claim against Robert for the remainder of the payment. (He cannot bring a contract claim because his state&#8217;s statute of frauds requires that service contracts over $500 need to be made in writing.)<i><\/i><\/p>\n<h2>Related Resources<\/h2>\n<ul>\n<li><a href=\"https:\/\/lawyers.findlaw.com\/contracts\/?fli=dcta\" title=\"Find a lawyer experienced in promissory estoppel\" target=\"_blank\" rel=\"noopener\">Find a lawyer experienced in promissory estoppel<\/a><\/li>\n<li><a href=\"https:\/\/dictionary.findlaw.com\/definition\/estoppel.html\" title=\"Estoppel definition\">Estoppel Definition<\/a><\/li>\n<li><a href=\"https:\/\/www.findlaw.com\/smallbusiness\/business-contracts-forms\/contract-law.html\" title=\"Contract Law\" target=\"_blank\" rel=\"noopener\">Contract Law<\/a><\/li>\n<\/ul>\n<\/dd>\n<\/dl>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>What is &#8216;Promissory Estoppel&#8217;? Learn more about legal terms and the law at FindLaw.com<\/p>\n","protected":false},"parent":358119,"menu_order":0,"template":"app\/Http\/Controllers\/Templates\/DictionaryArticleController.php","meta":{"_acf_changed":false,"_stopmodifiedupdate":false,"_modified_date":"","_autodraft_ids":[],"_cloudinary_featured_overwrite":false,"_sb_is_suggestion_mode":false,"_sb_show_suggestion_boards":false,"_sb_show_comment_boards":false,"_sb_suggestion_history":"","_sb_update_block_changes":"","_is_real_time_mode":false,"_realtime_collaborators":"","cf_checklist_status":[]},"dictionary_tags":[],"class_list":["post-364168","dictionary","type-dictionary","status-publish","hentry"],"acf":[],"_links":{"self":[{"href":"https:\/\/dictionary.findlaw.com\/law-api\/wp-json\/wp\/v2\/dictionary\/364168","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dictionary.findlaw.com\/law-api\/wp-json\/wp\/v2\/dictionary"}],"about":[{"href":"https:\/\/dictionary.findlaw.com\/law-api\/wp-json\/wp\/v2\/types\/dictionary"}],"up":[{"embeddable":true,"href":"https:\/\/dictionary.findlaw.com\/law-api\/wp-json\/wp\/v2\/dictionary\/358119"}],"wp:attachment":[{"href":"https:\/\/dictionary.findlaw.com\/law-api\/wp-json\/wp\/v2\/media?parent=364168"}],"wp:term":[{"taxonomy":"dictionary_tags","embeddable":true,"href":"https:\/\/dictionary.findlaw.com\/law-api\/wp-json\/wp\/v2\/dictionary_tags?post=364168"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}