Worksheet 16.3: The Parol Evidence Rule and International Considerations

1. Integrated Contract

Integrated Contract: A written contract that constitutes the final expression of the parties' agreement. If a contract is integrated, evidence extraneous to the contract that contradicts or alters the meaning of the contract in any way is inadmissible.,

1. Parol Evidence Rule

Parol Evidence Rule: A substantive rule of contracts under which a court will not receive into evidence the parties' prior negotiations, prior agreements, or contemporaneous oral agreements if that evidence contradicts or varies the terms of the parties' written contract.

4. Oral evidence may be introduced in all cases to show that the contract was voidable or void. a. True b. False

a. True

6. Under the Uniform Commercial Code, courts allow the introduction of practices and customs generally allowed in a particular industry to shed light on the meaning of certain contract provisions. a. True b. False

a. True

7. If the contract is only partially integrated, evidence of consistent additional terms is admissible to supplement the written agreement. a. True b. False

a. True

3. When the terms of a written contract are ambiguous and require ________, the courts allow evidence to fill in the gaps. a. interpretation b. litigation c. the Statute of Frauds d. mediation

a. interpretation

11. The Convention on Contracts for the International Sale of Goods (CISG) incorporates the original Statute of Frauds provisions. a. True b. False

b. False

10. Article 11 of the CISG incorporates most Statute of Frauds provisions. a. True b. False

b. False (Article 11 of the CISG does not incorporate any Statute of Frauds provisions. Rather, it states that a "contract for sale need not be concluded in or evidenced by writing and is not subject to any other requirements as to form.")

9. England, the nation that created the original Statute of Frauds in 1677: a. repealed the statute entirely. b. has repealed all of the statute except the provisions relating to collateral promises and land transfers. c. has repealed all of the statutes except the provisions relating to the one-year rule.

b. has repealed all of the statute except the provisions relating to collateral promises and land transfers.

2. Under the parol evidence rule, when the terms of a written contract are ambiguous: a. the court will conclude that the contract is legally defective. b. additional evidence is not admissible to show the meaning of the terms. c. additional evidence is admissible to show the meaning of the terms.

c. additional evidence is admissible to show the meaning of the terms.

8. Evidence of a prior negotiation that ________ a written term of the contract would not be admitted. a. supplements b. affirms c. contradicts d. involves

c. contradicts

5. Under the Uniform Commercial Code (UCC), evidence of ______ can be used as evidence for interpreting an otherwise valid written contract.

prior dealing