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The Parole Evidence Rule is a contract law principle that prevents parties in a written contract from introducing external evidence that contradicts or alters the finalized terms of the agreement. For instance, in a home sale with a signed contract stipulating a price of $500,000, the buyer cannot present evidence of prior discussions claiming a different price or additional terms, such as including a car in the deal. Essentially, the rule prohibits the use of outside evidence when a written contract exists, although it has several qualifications that may apply.
