Context
The Supreme Court recently examined the scope of the Doctrine of Promissory Estoppel and ruled that it cannot be invoked to obtain benefits from a government policy by beneficiaries who fall outside the policy’s intended coverage.
About Promissory Estoppel
- Promissory Estoppel is a legal doctrine that prevents a person from going back on a promise when another party has relied upon it and suffered a loss or disadvantage.
- The doctrine is based on the principles of equity and fairness and seeks to prevent injustice arising from the non-fulfilment of a promise.
- The doctrine may apply even where no formal contract exists.
- Its application generally requires:
- A clear and unambiguous promise;
- Reasonable reliance on the promise by the promisee;
- Loss or detriment suffered as a result of such reliance.
- In Chhaganlal Keshavalal Mehta v/s Patel Narandas Haribhai (1981), the Supreme Court reaffirmed that a clear promise, reasonable reliance, and resulting detriment are essential for invoking the doctrine.
