What is Estoppel?
Estoppel is a legal device used to prevent a party from taking action that will negate some previous action taken. It prevents a party from going back on their word. For example, a lender and borrower are in court because of an unresolved debt. The lender says that he will pardon 50% of the debt; the judge can, therefore, issue an estoppel on the lender from going back on his word. Hence, he can not change his mind and only pardon 30% of the existing debt.