In law, estoppel is a crucial principle that prevents individuals from denying their previously made statements, asserted positions, promises, or actions.
To put it simply, if you made a promise or claim and your friend took action based on that, you cannot later go back on your word.
Estoppel Meaning in Law
In India, you find this principle under the Indian Evidence Act, Section 115. It says that when someone intentionally convinces another person to believe something to be true through words, actions, or remaining silent, and that person acts based on that belief, then the first person (or their representative) cannot later deny the truth in any legal suit or proceeding between them.
Different Types of Estoppel
Promissory Estoppel
Suppose an employer promises an employee that they will give a bonus. So the employee starts working extra hours to earn it. Later, the employer cannot deny it. It is a promissory estoppel example.
Equitable Estoppel
Take an example of a construction project. Assume the owner asks the workers to do some extra work (such as cleaning a particular space) without providing any fees. They agreed to do that on the spot but forgot to do it later.
In that case, the owner cannot force those workers to fulfil that promise, as they won't receive anything in exchange, and this is not part of their contract.
Estoppel in Real Estate
According to Section 116 of the Indian Evidence Act, no tenant of a property is allowed to deny the landlord's ownership during tenancy. Any other person claiming through the tenant also cannot deny the fact.
Similarly, if someone enters any immovable property with the permission of the one in possession, they cannot later deny that person’s right to possess it at the time when the permission was given.
Estoppel ensures fairness, saves time and resources by reducing legal disputes and protects you from falling into the trap of others' false commitments or actions.
