Hoffman v. Red Owl Stores, Inc.

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Hoffman v. Red Owl Stores, Inc.
Court
Citation 133 N.W.2d 267
26 Wis. 2d 683 (Wis. 1965)
Date decided 1965

Procedural History

Ps brought suit against Ds for reliance damages (breach of defendants’ representations/agreements) TC found for P → Ordered new trial w/ issue of damages for losses related to the sale of P’s independent grocery store, fixtures, and inventory

Both parties appealed

Reasons

Here, Defendant's promise to set P up with his own store doesn’t contain all elements sufficient to give rise to enforceable contract but it can still be enforced under promissory estoppel

Rule

A promise which the promisor should reasonably expect to induce action or forbearance of a definite and substantial character on the part of the promisee and which does induce such action or forbearance is binding if injustice can be avoided only by enforcement of the promise. - Restatement (First) of Contracts § 90