First Principles of Business Law
Quiz: The contents of a contract

Question 12

 

 

A signs a written contract, agreeing to buy specified furniture from B.  The contract contains all the terms that are necessary for a commercially workable transaction but does not refer to everything that was in fact discussed.  Later, when a dispute between A and B arises, A wants to prove that there were additional terms, not contained in the written contract, that were agreed to orally when the contract was made.  In the light of these facts, which one of the following statements is correct? 

 

(a)  The parol evidence rule would apply in these circumstances and prevent A from proving the existence of the additional terms he says were orally agreed.

(b)  The parol evidence rule would apply in these circumstances and A would be permitted to prove the existence of the additional terms he says were orally agreed.

(c)   The parol evidence rule would not apply in these circumstances and A would be permitted to prove the existence of the additional terms he says were orally agreed.

 

 

 

 

 

 

 

 

 

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