Contract Glossary

Parol Evidence Rule

Definition

A rule that prevents parties from using prior or contemporaneous oral agreements to contradict the terms of a written contract that's intended to be the final agreement. If it's not in the written contract, it generally doesn't count.

In Practice

Say the sales rep promised you free support for life during negotiations, but the written contract says support ends after 12 months. Under the parol evidence rule, that verbal promise is likely unenforceable. This is why you should get every promise in writing before signing, especially when the contract has an entire agreement clause.