Meaning and Scope of Estoppel
Estoppel, governed by Sections 115–117 of the Indian Evidence Act, 1872, prevents a person from denying or contradicting a statement they previously made if another person relied upon that statement. It is a rule of equity, justice, and good conscience, aimed at preventing fraud and unfair advantage. Estoppel is not a cause of action by itself but operates as a rule of evidence. Once a person intentionally causes another to believe something as true and the latter acts on that belief, the former cannot retract the representation later. Thus, estoppel ensures consistency in legal conduct and promotes fairness in contractual, commercial, and personal transactions.
Principal Kinds of Estoppel
The law recognizes several kinds of estoppel. (1) Estoppel by Representation (Section 115): arises when a person makes a statement or representation that another acts upon to their detriment.
(2) Estoppel by Conduct: occurs when behaviour or silence creates an impression that misleads the other party.
(3) Promissory Estoppel: prevents a person from going back on a promise even without consideration, widely used in administrative law.
(4) Proprietary Estoppel: applies when someone acts upon a belief related to property rights.
(5) Estoppel by Record (Res Judicata): earlier judgments bind parties from re-litigating issues.
(6) Estoppel by Deed: applies when statements in formal documents cannot be later contradicted.
Additional Types under Contract and Agency Law
There are also specialized forms of estoppel. Estoppel of Tenant and Licensee (Section 116): A tenant cannot deny the landlord’s title during the tenancy. Agent’s Estoppel (Section 117): A principal is bound by the acts of an agent if third parties relied on the agent’s apparent authority. Estoppel in Tort: used in situations involving negligent misrepresentation. In public law, promissory estoppel binds government authorities when citizens act on official promises, unless overriding public interest demands otherwise. These various forms ensure that parties remain accountable for representations that induce reliance, stabilizing both private and public dealings.
Real-Time Example
A landlord verbally promises a tenant that he can continue occupying the house for five more years, and the tenant spends money renovating it. Later, the landlord attempts to evict the tenant after one year. Here, promissory estoppel prevents the landlord from withdrawing the promise because the tenant acted upon it to his detriment. Similarly, a tenant cannot deny that the landlord owns the property during tenancy due to tenant’s estoppel under Section 116.
Mnemonic to Remember – “RCP-PP-LAT”
R – Representation Estoppel
C – Conduct Estoppel
P – Promissory Estoppel
P – Proprietary Estoppel
P – Record Estoppel
L – Landlord/Tenant Estoppel (Sec 116)
A – Agency Estoppel (Sec 117)
T – Title/Deed Estoppel
Mnemonic: “RCP-PP-LAT:
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