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The Parole Evidence Rule in contract law prevents parties from presenting extrinsic evidence that contradicts or modifies written agreements. This rule applies when a contract is considered complete and finalized, barring parties from introducing outside evidence that goes against the terms of the written agreement. For example, if a written contract states a sale price of $500,000 for a home, parties cannot present evidence of a different agreement. The rule essentially states that outside evidence cannot be used when there is a written contract in place.
