Estoppel is a legal principle that prevents a person or entity from asserting a legal right or taking a legal position that contradicts or is inconsistent with its earlier position, behavior, or agreement. The person or entity is said to be “estopped” from changing its position, behavior, or agreement because another person or entity has relied on its earlier position, behavior, or agreement (detrimental reliance).
In Alabama, the doctrine of estoppel is recognized and can be applied in various legal contexts. Estoppel can arise in situations where a party has acted in a certain way or made representations upon which another party has detrimentally relied. For example, if a person or entity makes a promise or assurance to another, and the latter changes their position based on that promise, the former may be estopped from reneging on their promise if it would cause harm or injustice. Alabama courts may invoke estoppel to prevent 'manifest injustice' and ensure fairness in transactions and interactions. The specific application of estoppel can depend on the circumstances of each case, including the nature of the representations made and the reliance by the other party. Estoppel in Alabama can be categorized into various types such as promissory estoppel, equitable estoppel, and estoppel by deed, each with its own set of principles and requirements.