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3 the question is whether you get the property right

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3. The question is whether you get the property right you thought you were getting (based on the expectation), or do you get something else? PROPRIETARY ESTOPPEL 1. Where: a landowner creates or encourages an expectation in plaintiff that s/he will acquire a property right, and the plaintiff acts to his or detriment in reliance on the expectation, equity will not allow the expectation to be defeated where it would be inequitable to do so. 2. Representation may be as to intention (future) 3. PE can be used as a cause of action. 4. The benefit need not flow to D. 6
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7 HOW IS THE EXPECTATION TO BE SATISFIED? 1. Court can grant TWO types of remedy: A says to B that he’ll build a shed on B’s land. It costs $100, is concreted in. What sort of relief? a. NOT expectation, as property worth $1mil, but A spent $100. b. INSTEAD, go for reliance, which is expenditure only. INWARDS V BAKER 1. B’s father invited him to build a house on the father’s land 2. B built house at own expense 3. Father’s will left the land to Inwards and others. 4. Inwards sought possession of the land against B. 5. The estate argued B merely had a licence. 6. Held: Proprietary estoppel had arisen and it is for court to say in what way it can be satisfied. B held entitled to remain as long as he wishes. It was quite apparent that if a person is encouraged to build on land etc, an expectation had been created. His detrimental reliance was building the bungalow, but couldn’t get it as it was a fixture of the land. Thus, it was unconscionable for the father to allow this, but then deny him the bungalow for his life. 7. B had an ‘equity of acquiescence’, a proprietary right enforceable against the father’s successors in title, coupled with a licence to occupy for life. 8. Denning argued it was a licence coupled with an equity that was enforceable against the estate. “An equity of acquiescence.” HOW IS THE EQUITY TO BE SATISFIED? 1. Court may grant Expectation relief - making good the expectation that was induced in the plaintiff (as in Inwards v Baker; Crabb v Arun ) The ‘minimum equity’ to relieve the detriment – by framing an order that will relieve the detriment suffered by the plaintiff (as in Waltons Stores (Interstate) Ltd v Maher ) GIUMELLI V GIUMELLI: FACTS 1. Robert (R) worked on his parents’ orchard property under a partnership agreement. 2. Parents promised him part of the land for working without wages. 3. After 14 years of working for no wages and building a house (used money, detriment), his parents told him to leave after he left his wife. 4. Supreme Court of WA (at 1 st instance) held R was entitled to have the land conveyed, either on basis of CT or proprietary estoppel. Parents appealed, arguing the remedy was excessive.
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