a legal principle that a promise is enforceable even if made without formal consideration, but where another relies on that promise and incurs expense or hardship. Promissory estoppel is considered an “equitable” cause of action and sometimes called a quasi-contract theory.
To make a claim for promissory estoppel, a plaintiff (promisee) must show a (1) promise of some kind; (2) where the promisor could foresee reliance by the promise; and (3) substantial reliance to the detriment of the promisee. The rationale behind promissory estoppel is to prevent the unjust or harsh outcomes, which would result where parties relied on the promises of others. Unlike contractual “expectation” damages, e.g., lost profits, promissory estoppel remedies often provide only so-called “reliance” damages—that is only those damages a party suffered in relying on the promise.
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