Central London Property Trust v High Trees House
[1947] KB 130
Ratio Decidendi
A promise made without consideration may be binding if the promisor intended it to be acted upon and the promisee has relied upon it. This established the modern doctrine of promissory estoppel in English law.
Fakty
In 1937, Central London Property Trust let a block of flats to High Trees House Ltd at £2,500 per year. During World War II, many flats were empty due to wartime conditions. In 1940, the landlord agreed to reduce the rent to £1,250 per year. By 1945, the flats were fully let again. The landlord sought to recover the full rent for the last two quarters of 1945.
Podsumowanie orzeczenia
Denning J held that the full rent was payable from mid-1945 when the conditions that led to the reduction had ceased. However, he stated obiter that had the landlord sought to recover the full rent for the entire war period, the promise to reduce the rent would have been binding despite the absence of consideration, on the basis of promissory estoppel.
Kluczowe cytaty
"A promise intended to be binding, intended to be acted on and in fact acted on, is binding so far as its terms properly apply."
— Denning J
Późniejsze zastosowanie
Established promissory estoppel as a recognised doctrine in English law, though as a 'shield not a sword' — it cannot create new causes of action.