What is Promissory Estoppel?

Promissory estoppel is an equitable doctrine recognized under Indian law, though not codified in any specific statute. It has evolved through judicial decisions and is often applied in constitutional and administrative law cases.

It prevents a person, including the government, from going back on a promise if another party has relied on it and suffered a loss.

The doctrine was firmly recognized in Motilal Padampat Sugar Mills v. State of U.P. (1979), where the Supreme Court held that even state promises made without a formal contract can be enforced if acted upon in good faith.

While not part of the Indian Contract Act, courts have treated it as a binding principle of equity to ensure fairness and prevent injustice.