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In both non-commercial and commercial law, people need to generally carry out their negotiations in good faith. They should not be selling valuables fraudulently to other parties, nor should they be acting dishonestly or in bad faith towards others.
The biggest difference between a promissory estoppel claim and a claim for breach of contract is that promissory estoppel does not require consideration. See Court Opinions. That is, the plaintiff/promisee did not have to do anything or promise something in exchange for the defendant's promise. See.
Requirements of a Promissory Estoppel Promisor made a significant promise to cause the promisee to act on it. ... Promisee relied on the promise. ... Promisee suffered significant damage by relying on the promise. ... Fulfillment of the promise is the only way the promisee can be compensated.
A party presents a justiciable defense of estoppel if he or she shows a misrepresentation of a material fact upon which the party asserting estoppel detrimentally relied.
The defendant made a clear and unambiguous promise. The plaintiff acted in reliance on the defendant's promise. The plaintiff's reliance was reasonable and foreseeable. The plaintiff suffered an injury due to reliance on the defendant's promise.
Affirmative Defenses that can be asserted against a claim of promissory estoppel include: 1) existence of a contract (express or implied) between the parties; 2) lack of a clear and unequivocal promise; 3) lack of reasonable detrimental reliance; 4) lack of injustice that can only be avoided if the promise is enforced.
Testing Serv., 87 N.Y. 2d 384, 389 (1995). When one party to a con- tract deceives the other party and delays or prevents the exercise of that party's contractual rights, that party breaches the implied covenant of good faith and fair dealing.
Requirements of Promissory Estoppel The promisee believed the promisor, and acted on that promise in good faith; The promisor later reneged on that promise causing financial harm to the promisee; and. The nature of the promise is such that the only way to avoid injustice is by enforcing the promise.