Are Written Contracts Enforceable? The Parole Evidence Rule
In large part, the terms of a written agreement are the sole item a court considers in a dispute. In other words, the “parole evidence rule” is the common law…
Written by Spiegel & Utrera, P.A.
- Published
- April 15, 2015
- Updated
- August 11, 2026
In large part, the terms of a written agreement are the sole item a court considers in a dispute. In other words, the “parole evidence rule” is the common law principle behind this. It bars outside factors from contradicting the terms of a written contract. The main exceptions are fraud, illegality, duress, and in some cases mistake or ambiguity in the agreement.
In practice, that means oral promises cannot override the document. For example, suppose someone made a spoken promise at signing that contradicts the written agreement. In that case, a court generally will not consider it once a dispute arises. Simply put, what is on the page is what governs.
However, a recent court decision changed this basic rule. It reversed long-standing precedent on the issue. Specifically, it held that evidence of broken oral promises which contradict the express terms of a written contract is no longer automatically barred by the parole evidence rule.
So the takeaway for business owners is simple. Your written contract still carries the most weight. However, the days of assuming oral side-promises can never come back to matter are ending. Therefore, the safest position is a clear, complete written agreement. Ideally, it says exactly what both sides intend, with nothing important left to a handshake.
Want to make sure your agreements protect you? Call Spiegel & Utrera, P.A. at (800) 603-3900 or visit our website for more information and to make sure your interests are protected.
This article is provided for general information only and is not legal advice, and reading it does not create an attorney-client relationship. Contract law and how the parole evidence rule applies vary by state and by the facts of each case. Contact Spiegel & Utrera, P.A. to discuss your situation.
