Texas Causes of Action & Affirmative Defenses

Texas Causes of Action & Affirmative Defenses

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Tuesday, September 1, 2009

Requisites of promissory estoppel

Promissory estoppel The requisites of promissory estoppel include (1) a promise, (2) foreseeability of reliance on the promise by the promisor, and (3) substantial reliance by the promisee on that promise to his detriment. English v. Fisher, 660 S.W.2d 521, 524 (Tex. 1983); see also Henry Schein, Inc. v. Stromboe, 102 S.W.3d 675, 706 n.25 (Tex. 2003). “Under the theory of promissory estoppel, a party that has failed to prove a legally sufficient contract, but has acted in reliance upon a promise to his detriment, may be compensated for his foreseeable, definite, and substantial reliance.” Lamajak v. Frazin, 230 S.W.3d 786, 794 (Tex. App.-Dallas 2007, no pet.) (citing Wheeler v. White, 398 S.W.2d 93, 97 (Tex. 1965)). However, the doctrine of promissory estoppel “presumes no contract exists.” Subaru of Am., Inc. v. David McDavid Nissan, Inc., 84 S.W.3d 212, 226 (Tex. 2002); see also Cessna Aircraft Co. v. Aircraft Network, L.L.C., 213 S.W.3d 455, 468 (Tex. App.-Dallas 2006, pet. denied) (op. on reh'g); Fertic v. Spencer, 247 S.W.3d 242, 250 (Tex. App.-El Paso 2007, pet. denied) (the existence of an express contract between the parties “bars recovery...under the theory of promissory estoppel as a matter of law.”); Doctors Hosp. 1997, L.P. v. Sambuca Houston, L.P., 154 S.W.3d 634, 636 (Tex. App.-Houston [14th Dist.] 2004, pet. abated) (“promissory estoppel becomes available to a claimant only in the absence of a valid and enforceable contract”). SOURCE: 05-07-00891-CV