Which of the Following Is True with Regard to the Parol

question 34

Multiple Choice

Which of the following is true with regard to the parol evidence rule?

• A) It applies only to the oral discussions that do not make it into the final written agreement.
• B) The rule has no bearing on events that have transpired before the contract in dispute was signed.
• C) The rule is concerned only about agreements reached subsequently that may alter the terms of an existing contract.
• D) It does not negate all prior agreements or statements.
• E) The rule applies only in cases where the parties never intended the written contract to be their full understanding and intend it to be partly oral.

---

Definitions:

Creativity

The ability to produce original and valuable ideas or solutions.

Centralization

The degree to which decisions are made at the top of the organization.

Simple Structure

A centralized form of organization that emphasizes a small technical and support staff, strong centralization of decision-making in the upper echelon, and a minimal middle level.

Upper Echelon

A top-level executive team in an organization.