Indicate Which of the Following Is the Correct Statement About

question 110

Multiple Choice

Indicate which of the following is the correct statement about the effect of promissory estoppel on a promisor.

• A) Promissory estoppel has no effect on a promisor because it only relates to statements of fact, not promises.
• B) When a victim relies on the promise and suffers injury, he can sue the promisor for compensation even where no consideration has been given in return for that promise.
• C) Promissory estoppel must be distinguished from equitable estoppel.
• D) Promissory estoppel can be used as a defence only against a promisor who reneges on his promise.
• E) Promissory estoppel is known as injurious reliance in the United States and has the same effect in both American and Canadian law.

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Definitions:

Market Supply Curve

A graphical representation showing the relationship between the price of a good and the total output of the good all producers are willing to supply.

Remaining Firms

Businesses that continue to operate in a market after others have exited, often due to competitive advantages or niches.

Invisible Hand

A metaphor introduced by Adam Smith to describe how individual self-interest in a free-market economy leads to economic well-being and efficiency as if by an invisible hand guiding them.

Private Interests

Interests or goals that are pursued by individuals or entities for their personal or organizational benefit, rather than for the public good.