Promissory estoppel is an equitable theory of recovery that permits enforcement of a promise when one or more elements necessary to create an enforceable contract are missing. The elements of promissory estoppel are generally: (1) a promise; (2) foreseeability of reliance by the promisor; (3) substantial and reasonable reliance by the promisee to its detriment; and (4) enforcing the promise is necessary to avoid injustice.
In Texas, promissory estoppel serves as a legal remedy that allows a party to enforce a promise even when a formal contract does not exist or certain elements for a contract are lacking. The doctrine is based on the principle of fairness and aims to prevent injustice that would result from not enforcing the promise. The elements required to establish promissory estoppel in Texas are: (1) a clear and definite promise, (2) the promisor should reasonably expect the promisee to rely on the promise, (3) the promisee does in fact act in reliance on the promise, and this reliance is substantial and detrimental, and (4) the promise must be enforced to prevent injustice. Texas courts will consider these factors when determining whether to apply promissory estoppel in a given case. It is important to note that the application of promissory estoppel can vary based on the specific circumstances of each case, and an attorney can provide guidance on how the doctrine may apply to a particular situation.
