Question

AtlasNow Construction Company, a general contractor, plans to place a bid for building a hospital. It requests bids from subcontractors for plumbing and other construction related services that will be needed for building the hospital. Catapipes Plumbing Company, a plumbing subcontractor, submits the lowest bid for the plumbing work, and AtlasNow incorporates Catapipes's low bid in its own bid for the general contract. Based on all of the subcontractors' bids, AtlasNow submits the lowest overall bid to build the hospital and is awarded the contract. If Catapipes Plumbing plans to withdraw its bid, what legal doctrine can help AtlasNow from being meted out injustice due to lack of consideration?

Answer 1

Promissory estoppel legal doctrine can help AtlasNow from being meted out injustice due to lack of consideration

Explanation:

Promissory estoppel is a concept in contract law that hinders a person from running backward on a promise yet if a legal contract seems not to endure. It declares that an aggrieved party can redeem losses from a promisor if the losses acquired were the consequence of a promise tendered by the promisor, which he relied on to his succeeding loss.

Promissory estoppel is assigned to hold the promisor from claiming that an underlying promise should not be lawfully propped or forced. It assists injured parties to overcome on promises performed that have commenced to economic loss when not met.