CONTRACT LAW ā Waiver ā Essential Elements of Waiver by Conduct
Principle Statement
If one party by his conduct leads another to believe that strict rights under the contract will not be insisted upon, intending that the other should act on that belief, and he does act on it, then the first party will not be allowed to insist on strict rights when inequitable to do so.
Ratio Decidendi (Source)
Per Edozie, JSC, in Nigerian Bank for Commerce and Industry v. Integrated Gas (Nigeria) Limited & Anor (2005) NLC-2532000(SC) at p. 11; Paras DāE.
"The principle of waiver is simply this: If one party by his conduct leads another to believe that the strict rights arising under the contract will not be insisted upon, intending that the other should act on that belief, and he does act on it, then the first party will not afterwards be allowed to insist on the strict rights when it would be inequitable for him so to do."
Explanation / Scope
Waiver by conduct requires leading other to believe strict rights waived, intent to induce reliance, and actual reliance. The principle applies to contract law.
