What is detrimental reliance?

Asked by: Heath Wehner  |  Last update: June 16, 2025
Score: 4.9/5 (17 votes)

Detrimental reliance occurs when a party is reasonably induced to rely on a promise made by another party. In many states, a detrimental reliance claim is actionable if the reliance itself caused the plaintiff to suffer some detriment, loss, or other harm.

What is the meaning of detrimental reliance?

Detrimental reliance refers to a legal concept in contract law where one party suffers harm or incurs a loss as a result of relying on the promises or representations made by another party.

How do you prove detrimental reliance?

First, there must be a clear promise made by one party. Second, the other party must have relied on this promise in a reasonable manner. Third, this reliance must have caused some form of detriment or harm to the party who relied on the promise.

What is the difference between promissory estoppel and detrimental reliance?

Detrimental reliance is a term that is often used to force a party to perform their obligations under a contract, under the theory of promissory estoppel. In a detrimental reliance claim, it must be shown that the reliance was reasonable. This is done on a case-by-case basis that takes all factors into consideration.

What is detrimental damage?

Something that is detrimental to something else has a harmful or damaging effect on it. [...]

What is detrimental reliance?

17 related questions found

What is the meaning of detrimental damage?

: obviously harmful : damaging. the detrimental effects of pollution. detrimentally. ˌde-trə-ˈmen-tᵊl-ē adverb.

What is detrimental behavior?

Intimidating, threatening, abusive, or harming conduct.

Can you sue for detrimental reliance?

Detrimental reliance occurs when a party is reasonably induced to rely on a promise made by another party. In many states, a detrimental reliance claim is actionable if the reliance itself caused the plaintiff to suffer some detriment, loss, or other harm.

Can you sue someone who promised you money?

The short answer is yes, you may have a claim for someone who broke a promise to you. Now, depending on the nature of that promise, we may have different types of the cause of action that could be brought. The most common that I see is a breach of contract.

What are the 5 elements of promissory estoppel?

In analyzing the application of section 90, the Washington courts have established five requirements for recovery in promissory estoppel: “(1) a promise which (2) the promisor should reasonably expect to cause the promisee to change position and (3) which does cause the promisee to change position (4) justifiably ...

What is estoppel in simple words?

Estoppel is a judicial device whereby a court may prevent or "estop" a person from making assertions or from going back on their word. The person barred from doing so is said to be "estopped". Estoppel may prevent someone from bringing a particular claim.

What are reasonable reliance damages?

Reliance damages are valued by a party's reliance interest for the reasonably foreseeable amount. They put the injured party in the same financial position as if the contract had never been formed.

How do you prove reputational damage?

To prove prima facie defamation, a plaintiff must show four things: 1) a false statement purporting to be fact; 2) publication or communication of that statement to a third person; 3) fault amounting to at least negligence ; and 4) damages , or some harm caused to the reputation of the person or entity who is the ...

How to prove detrimental reliance?

Successful litigating a detrimental reliance claim requires that: a) a promise was made on which you “reasonably” relied (under the circumstances), and b) you sustained losses as a result. In many cases, a detrimental reliance claim is won or lost on the basis of whether the promise was “reasonably” relied upon.

What is an example of detrimental to?

The worst imaginable scenario would be doing something detrimental to the team's performance. This Bill would have a significantly detrimental impact on the rights of women. A financial imbalance in the country has a detrimental effect on all aspects of economic and social life.

Is detrimental reliance a defense?

Detrimental reliance, or estoppel — If one party indicates that performance is no longer required, and the other party relies on that, it can be a defense to the enforceability of the contract.

What to do when someone owes you money and ignores you?

Even if the debtor doesn't answer you, you should ask them multiple times for the exact dollar amount they owe. It is a good idea to tell them you will pursue legal action as a next step. You can also consider professional collection agency services that work to retrieve personal loans.

Is detrimental reliance a tort?

However, detrimental reliance is merely an element of another tort or contract cause of action, rather than an independent tort. 27At its most extreme, one person's detrimental reliance upon another is treated as a Promissory Estoppel, effectively creating a contract where no express contract actually existed.

Should I settle or go to court?

In a trial, you must accept the decision of the judge or jury. On the other hand, settling could put you at a disadvantage. Accepting a settlement may result in you receiving less money than you would if you went to court. Your lawyer will assist you in determining if going to trial is worth the extra time and money.

Can you sue someone for false promises?

The general rule is that broken promises, by themselves, are not actionable in court. However, there is a little-known exception: promissory estoppel. In the absence of a contract or agreement, which requires benefit to both sides (referred to as consideration), the law is generally unavailable to enforce a promise.

How are reliance damages calculated?

Calculating damages involves specific formulas and considerations. Expectation damages use the contract price minus actual value, while reliance damages subtract benefits received from expenses incurred.

What is the legal term for detrimental reliance?

Within contract law , promissory estoppel refers to the doctrine that a party may recover on the basis of a promise made when the party's reliance on that promise was reasonable , and the party attempting to recover detrimentally relied on the promise.

What is detrimental action?

Detrimental Action includes: action causing injury, loss or damage; intimidation or harassment; discrimination, disadvantage or adverse treatment in relation to a person's employment, career, profession, trade or business, including the taking of disciplinary action.

What is an example of a detrimental effect?

Examples of detrimental effect
  • Unprotected freezing of human spermatozoa exerts a detrimental effect on their oocyte activating capacity and chromosome integrity. ...
  • The conclusion that rewards had a detrimental effect was based on the result of the subsequent return to baseline, in extinction conditions.

What is detrimental stress?

However, chronic stress, when you repeatedly face stressors, can take a heavy toll on your body and can cause negative health effects. Chronic stress can cause headaches, insomnia, weight gain, anxiety, pain and high blood pressure.