What does the "parol evidence rule" state?

The parol evidence rule is a fundamental principle in contract law that dictates how courts interpret written agreements. This rule states that once parties have put their agreement into a written document that they intend to be a complete and final representation of that agreement, any oral or outside evidence that seeks to alter, contradict, or add to the terms of that written agreement is typically inadmissible in court.

This principle serves to uphold the integrity of written contracts, ensuring that the terms agreed upon by the parties are honored as recorded, avoiding ambiguity and potential disputes about what was agreed upon outside of the written contract. Courts will generally only allow evidence that clarifies the contract or relates to the circumstances under which the contract was formed if that evidence does not contradict the established written terms.

In this context, the other options do not accurately reflect the meaning of the parol evidence rule. For instance, the first choice misrepresents the rule by suggesting it allows oral statements to amend a contract, which contradicts the enforcement of written terms. The third choice implies that the rule allows additional evidence for enforcement, which is misleading because it does not permit external evidence that alters the contract's terms. Lastly, the option that claims all contracts must be in written form does not relate to