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ALASKA AIRLINES v. STEPHENSON

United States Court of Appeals Ninth Circuit (1954) | 217 F.2d 295

3 min read

TL;DR: An airline was prevented from using the Statute of Frauds to void a two-year oral employment contract because its promise to create a written agreement induced the employee to detrimentally rely by giving up his prior job.

Legal Significance: This case establishes that promissory estoppel, particularly when based on a promise to reduce an agreement to writing, can serve as an exception to the Statute of Frauds to prevent injustice resulting from detrimental reliance.