Promissory Estoppel Explained | Waltons Stores v Maher | Contract Law Exam Revision

Contracts 1 — Lecture 4 Exam Revision This lecture focuses on important Contract Law exam topics involving what happens when a contract is not enforceable or has not been fully formed. 📚 Topics covered 1. Formality — Writing & Signature Common law and contractual formalities Statutory writing requirements Victoria — s 126(1) Instruments Act 1958 Requirements for writing Signature requirements Joinder of documents Consequences of non-compliance Twynam Pastoral Co v Anburn Thomson v McInnes Caton v Caton Neil v Hewens 2. Promissory Estoppel What is promissory estoppel? Representation and inducement Assumption Reasonable reliance Detrimental reliance Unconscionable departure Remedies Waltons Stores (Interstate) Ltd v Maher Legione v Hateley 🎯 Exam Focus A particularly important exam question is: What happens when there is no enforceable contract, but one party has relied on a promise or representation and suffered a detriment? Students should consider whether promissory estoppel provides an alternative basis for relief. This covers the elements of estoppel, including representation, inducement, assumption, reasonableness, detrimental reliance and unconscionable departure. Video also identifies Waltons Stores v Maher as an important example of promissory estoppel arising during pre-contractual negotiations. 💡 Exam Tip When you see “no contract” + reliance + detriment, don't stop. Ask: Is there promissory estoppel? Is there restitution? Could part-performance apply? Specifically identify restitution and part-performance as alternative avenues where a contract cannot be enforced.