Asked by Anibal Navarro on May 30, 2024
Verified
John promised the other co-owners of the ship Sea Fairy that he would insure the ship for an upcoming voyage.However,John fails to insure the ship.The ship is shipwrecked in a turbulent sea.The co-owners sue John for breach of contract.Will they succeed?
A) Yes,because there was a valid and binding contract between the co-owners.
B) No,because it was a purely gratuitous promise.
C) No,because an intervening cause absolved John's liability.
D) Yes,because of promissory estoppel.
Promissory Estoppel
A legal doctrine preventing an individual from reneging on a promise when another person has reasonably relied on that promise to their detriment.
Gratuitous Promise
A commitment or pledge that one person makes to another without demanding or expecting anything in return, often not legally binding.
- Understand the significance of promissory estoppel when formal consideration is lacking.
Verified Answer
TC
Thomas Carson LeaphartJun 03, 2024
Final Answer :
B
Explanation :
John's promise was purely gratuitous;he had neither asked for nor received anything in exchange for making it.Therefore,it was unenforceable because it was not supported by consideration.
Learning Objectives
- Understand the significance of promissory estoppel when formal consideration is lacking.