WJEC A-Level Law 603-1978-1
Law Making in Wales and the UK
Delegated Legislation
Statutory Interpretation
Judicial Precedent
The Civil Courts and Dispute Resolution
The Criminal Process and the Criminal Courts
Legal Personnel and the Judiciary
Access to Justice and Funding
Tort: Rules and Theory
Tort: Negligence
Tort: Occupiers' Liability
Tort: Remedies
Human Rights: Rules and TheoryHuman rights
Human Rights: Key Convention ProvisionsHuman rights
Human Rights: RestrictionsHuman rights
Human Rights: EnforcementHuman rights
Human Rights: Protection and ReformHuman rights
Contract: Rules and TheoryContract
Contract: FormationContract
Contract: TermsContract
Contract: Misrepresentation and DuressContract
Contract: DischargeContract
Contract: RemediesContract
Criminal Law: Rules and TheoryCriminal
Criminal Law: General Elements of LiabilityCriminal
Criminal Law: Offences Against the PersonCriminal
Criminal Law: Property OffencesCriminal
Criminal Law: DefencesCriminal
Criminal Law: Preliminary OffencesCriminal
Contract: Formation
Payment of less than the debt, and promissory estoppel
- 3 things to know
- A2 Units 3 and 4
Overview
Hardship that the rule on part payment can cause and promissory estoppel.
What you need to know
Answer each one before you reveal it.
State the rule in Pinnel's Case (1602).
What three exceptions to the rule in Pinnel's Case were recognised at common law?
Questions from this subtopic
Each one with the model answer underneath.
- 1
State the rule in Pinnel's Case (1602).
Model answer
Payment of a smaller sum on the due date cannot discharge an obligation to pay a larger sum, so a creditor who accepts part payment may still sue for the balance.
- 2
What three exceptions to the rule in Pinnel's Case were recognised at common law?
Model answer
The debt is discharged where the smaller sum is paid earlier than the due date, where it is paid at a different place at the creditor's request, or where the creditor accepts a chattel instead of money.
- 3
What did Foakes v Beer (1884) settle about part payment of a debt?
Model answer
The House of Lords confirmed the rule in Pinnel's Case, holding that Mrs Beer could still claim the interest on the judgment debt even though she had agreed to accept payment of the principal by instalments.
- 4
Explain the hardship that the rule on part payment can cause.
Model answer
A creditor who has freely agreed to take less, and has been paid on that basis, may nonetheless go back on the agreement and sue for the balance, which penalises the debtor for relying on the creditor's word.
- 5
Why did Re Selectmove (1995) refuse to apply the reasoning of Williams v Roffey Bros to a debt?
Model answer
The Court of Appeal held that extending the practical benefit approach to part payment of a debt would contradict the binding House of Lords decision in Foakes v Beer, so only Parliament or the highest court could make that change.
- 6
What was the position on part payment left by MWB Business Exchange Centres v Rock Advertising (2018)?
Model answer
The Supreme Court decided the appeal on the effectiveness of the clause requiring variations to be in writing and expressly declined to reconsider the rule in Foakes v Beer, so that rule remains the law.
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