Practice Quiz

CLEP Business Law

Category - Contracts

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Candi agrees to sell Carla a purebred puppy for $2,000. Candi puts the agreement in writing. Later, Carla argues that Candi told her that she would only need to pay $1,500. Will the parol evidence rule prevent Carla from testifying to this conversation?
  1. Yes, because the testimony would directly contradict the written contract's terms.
  2. Yes, because a change to a written contract must be made in writing.
  3. No, because contracts to sell puppies do not have to be in writing.
  4. No, because it is permissible to use extrinsic evidence to show a modification to an existing agreement.
  5. Yes, because extrinsic evidence only can be used to show lack of consideration.
Explanation
Answer: D. No, the parol evidence rule would not prevent Carla from testifying to this conversation because it is permissible to use extrinsic evidence to show a modification to an existing agreement. The parol evidence rule requires that a change to a written contract must be made in writing. However, there are exceptions, including extrinsic oral evidence showing changes to the original, written agreement.
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