576 DR. BABASAHEB AMBEDKAR : WRITINGS AND SPEECHES
III. The third element in the rule of Estoppel is that the party to whom the representation was made must have acted upon the faith of it.
This element is really the foundation of the law of Estoppel and explains the principle underlying it. The principle underlying the rule of Estoppel is that it must be inequitable unjust; that if one person by a repersentation made or by conduct amounting to representation has induced another to act as he would not otherwise have done, the person who made the representation should be allowed to deny or repudiate the effect of his former statement to the loss and injury of the person who acted on it.
The reason of the rule is that the man has acted upon it and altered his position. To amount to estoppel the statement must have been acted upon by the party to whom it was made.
14 Bom. 312.
13 Moo I.A. 585 (599).
Limitation on the rule of Estoppel.
- It cannot override the law of the land.
(i) Minor—represents himself as Mojor—not estopped from proving minority.
(ii) Corporation—does Acts which are ultra vires —not estopped from proving that they were beyond its power.
Other distinctions between Admissions and Estoppel.
An admission does not prevent the party from proving that the admission is untrue. An Estoppel prevents the party from doing so.
An admission can be taken advantage of by any person other than the one to whom it was made. An Estoppel can be taken advantage of only by the party to whom it was made. As against a stranger he can deny its truth.
5 W. R. 209.