Legal Definitions - estoppel certificate

An estoppel certificate is a legal document that certifies certain facts to be true. It is usually signed by a party, such as a tenant or a mortgagee, for the benefit of another party. Once signed, the party is prevented from claiming a different state of facts later on.

A tenant signs an estoppel certificate stating that they have paid rent up to a certain date and that there are no defaults on their lease. The landlord can rely on this certificate and is prevented from later claiming that the tenant owes more rent or has breached the lease.

A mortgagee signs an estoppel certificate stating that they hold a mortgage on a property and that there are no other liens or encumbrances on the property. A potential buyer can rely on this certificate and is prevented from later claiming that there are other claims on the property.

These examples illustrate how an estoppel certificate can be used to prevent a party from making a different claim later on. It provides certainty and protection for parties who rely on the information contained in the certificate.