Is a promise to pay legally binding?

Asked by: Prof. Mallory Hettinger  |  Last update: July 19, 2025
Score: 4.7/5 (53 votes)

Thus, a promise may be enforceable to the extent that the promisee has incurred substantial costs, or conferred benefits, in reasonable reliance on the promise. Promissory estoppel under Section 90 of the Restatement of Contracts is the primary enforcement mechanism when action in reliance follows the promise.

Is a promise to pay enforceable?

Whether or not that promise is legally enforceable depends on a number of factors, such as whether or not there was a consideration (i.e., something of value given in exchange for the promise) or a serious intent to follow through on the promise.

Does a promise hold up in court?

Not all types of promises raise a legal obligation to enforce the promise. In a legal context, the promise must be made with sufficient consideration. Courts will look to contract law and related obligations when determining whether the promise should be binding, and thus be enforced.

Can you be sued over a promise?

Absent a valid contract, a broken promise does not typically provide grounds for a lawsuit. However, under certain circumstances, the legal doctrine of detrimental reliance may provide a remedy. Detrimental reliance occurs when a party is reasonably induced to rely on a promise made by another party.

What makes a promise legally binding?

Someone must make a promise. Someone else must genuinely and justifiably rely on the promise. The actions that are taken in reliance on the promise must be reasonably foreseeable to the person who makes the promise. Injustice will occur if the promise isn't enforced.

When are promises legally enforceable? Contracts as formal promises [No. 86]

43 related questions found

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.

What is a legally binding promise to pay?

A promissory note is a legally binding IOU: a formal, written promise in which one party agrees to repay the money they borrowed from another party.

Can you sue someone for making false promises?

In California, the statute of limitations for filing a false promises lawsuit based on false promises or fraud by an employer generally falls under the category of fraud. Under California law, specifically California Code of Civil Procedure Section 338(d), you have three years to file a lawsuit for fraud or deceit.

What is a legal promise not to sue?

A covenant not to sue legally obliges a party that could initiate a lawsuit not to do so. The covenant is made explicitly between two parties, and any third party that wants to make a claim is legally allowed to do so. Covenants not to sue are used to settle specific legal issues outside of the court system.

Can you breach a promise?

Breach of promise, although not actionable in most jurisdictions , is a breach of a promise to marry another; in other words, it is a broken engagement. It is a tort against the breaching party.

Are oral promises enforceable in court?

Generally speaking, an oral contract is indeed legally enforceable. Although for more complicated contracts, such as those in complex commercial transactions, the contractual parties usually create agreements in writing to avoid any dispute regarding the terms.

What states can a promise be in?

A JavaScript Promise object can be in one of three states: pending , resolved , or rejected . While the value is not yet available, the Promise stays in the pending state. Afterwards, it transitions to one of the two states: resolved or rejected . A resolved promise stands for a successful completion.

What is the rule of promise?

In contract law, if the parties exchange promises, each promise is "consideration" (a valuable item) for the other promise. Failure to fulfill a promise in a contract is a breach of the contract, for which the other party may sue for performance and/or damages.

Is a promise to pay valid consideration?

Consideration could be a promise, performance, forbearance, or property with legal value, but the economic benefit is not required. A gift or gratuitous promise cannot be a consideration for they have no bargaining.

What is a breach of promise to pay money?

Breach of contract happens when one party to a valid contract fails to fulfill their side of the agreement. If a party doesn't do what the contract says they must do, the other party can sue. You lend a friend $15,000. You both make a verbal agreement that your friend will pay you within 6 months.

What does make a promise to pay mean?

A promise to pay (PTP) is an agreement with a customer to make payments on specific dates. Promise to pay differs from payment arrangements in that a promise to pay contains user-defined scheduled payment dates, which are independent from the customer's billing dates.

What promises are legally enforceable?

Thus, a promise may be enforceable to the extent that the promisee has incurred substantial costs, or conferred benefits, in reasonable reliance on the promise. Promissory estoppel under Section 90 of the Restatement of Contracts is the primary enforcement mechanism when action in reliance follows the promise.

How do you stop someone from suing you?

If you're wondering about how to stop most frivolous lawsuits, you must contact an experienced attorney who can advise you on the best course of action to take. Very often, a wise option is to settle out of court by apologizing or offering a small compensation to resolve the issue even if you were not at fault.

Why is a promise not legally binding?

Lord Briggs explains - a promise is not enforceable unless it is made as part of a contract, and further, a person is free to change their Will until he dies. So on that basis, the father, in this case, has done nothing wrong (legally) by breaking his promise.

Can you sue for a verbal promise?

California recognizes oral contracts

Unlike written contracts, which have a statute of limitations of four years, oral contracts have a statute of limitations of two years within which parties can sue for breach of contract.

Can I sue for being set up to fail?

You can also potentially sue your employer for setting you up to fail if it involves false promises or fraudulent inducement. Fraudulent inducement occurs when an employer makes misleading verbal statements or promises to entice an employee into a position, knowing they cannot or will not follow through.

What is it called when someone makes false promises?

Future faking is when a person makes false promises about the future you will share together. Dr. Sabrina Romanoff, a clinical psychologist, professor, and writer in New York City explains that a future faker has no intention of fulfilling these promises, but wants you to believe they do.

What are promise to pay guidelines?

The essential components include:
  • Title: Clearly label the document as a “Promise to Pay” or “Promissory Note.”
  • Date: Include the date of the agreement.
  • Parties Involved: Specify the names and addresses of both the lender and borrower.
  • Principal Amount: Clearly state the amount of money being borrowed.

What makes a payment agreement legally binding?

Generally, to be legally valid, most contracts must contain two elements: All parties must agree about an offer made by one party and accepted by the other. Something of value must be exchanged for something else of value. This can include goods, cash, services, or a pledge to exchange these items.

What is the legal term for a promise to pay?

A promissory note must be in writing and signed by the maker of the promise. A frequent type of promissory note used by banks is a certificate of deposit. Promissory notes are considered a type of commercial paper and are often regulated under contract law.