The Parol Evidence Rule Prohibits the Introduction of Oral Evidence

question 398

Multiple Choice

The parol evidence rule prohibits the introduction of oral evidence into a lawsuit where the evidence presented is contrary to the terms of a written contract. Parol evidence may be introduced except when:

• A) it will explain the written instrument through previous trade usage
• B) the written contract is incomplete or ambiguous
• C) it will prove fraud, mistake or misrepresentation
• D) when one of the parties to the contract is not in court
• E) none of the other choices

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Definitions:

Exchange Rates

The rate at which one currency can be exchanged for another, affecting trade and economic relations between countries.

Long Run

A period of time in economics where all factors of production and costs are variable, allowing for full adjustment to changes.

Net Capital Outflow

The difference between the purchase of foreign assets by domestic residents and the purchase of domestic assets by foreigners over a specific time period, indicating the flow of capital out of a country.

Mexican Assets

Financial investments or physical properties located in Mexico, including stocks, bonds, real estate, and other forms of assets.