This document outlines a decision tree for determining whether parol evidence is allowed when interpreting a written contract. It provides a step-by-step process for assessing if the contract is integrated and whether the parol evidence supplements, contradicts, or varies the written terms. If the evidence contradicts or varies the written terms it is not allowed, but if it supplements or is consistent with the writing it may be permitted.
Original Description:
Contracts I
1L, Charleston School of Law
Parole Evidence Rule UCC
This document outlines a decision tree for determining whether parol evidence is allowed when interpreting a written contract. It provides a step-by-step process for assessing if the contract is integrated and whether the parol evidence supplements, contradicts, or varies the written terms. If the evidence contradicts or varies the written terms it is not allowed, but if it supplements or is consistent with the writing it may be permitted.
This document outlines a decision tree for determining whether parol evidence is allowed when interpreting a written contract. It provides a step-by-step process for assessing if the contract is integrated and whether the parol evidence supplements, contradicts, or varies the written terms. If the evidence contradicts or varies the written terms it is not allowed, but if it supplements or is consistent with the writing it may be permitted.
A. Ask yourself, Is there a written contract? If YES go to B. If NO, there is no
PER problem. B. Ask yourself, Are you adding a term? If YES, go to C. C. Ask yourself, Is the type of evidence of the new term Trade Usage (UoT), Course of Dealing (CoD) or Course of Performance (CoP)? These typically only involve merchant v. merchant contracts. If YES, go to D. If NO, go to I.
D. Ask yourself, Is the written agreement intended to be a final agreement, i.e.
integrated? If YES, go to E. E. Ask yourself, Does the UoT, CoD, or CoP supplement the writing? If YES, the PE is allowed. If NO, go to F. F. Ask yourself, Is the UoT, CoD, or CoP consistent with the writing? If YES, the PE is allowed. If NO, go to G. G. Ask yourself, Does the UoT, CoD, or CoP contradict the writing? If YES, the PE is not allowed. If NO, go to H. H. Ask yourself, Does the UoT, CoD, or CoP vary the writing? If YES, the PE is not allowed.
I. Ask yourself, Is the written agreement intended to be a final agreement, i.e.
integrated? If YES go to J. If NO, there is no PER problem. J. Ask yourself, Would the parties certainly have included it in the agreement under the totality of the circumstances? If YES, the integration is Complete and no PER is permitted even if it is consistent. If NO, the integration is partial and go to K. K. Ask yourself, Does the PER supplement the writing? If YES, the PER is allowed. If NO, go to L. L. Ask yourself, Is the PER consistent with the writing? If YES, the PER is allowed. If NO, go to M. M. Ask yourself, Does the PER contradict the writing? If YES, the PER is not allowed. If NO, go to N. N. Ask yourself, Does the PER vary the writing? If YES, the PER is not allowed.