Contracts

In Illinois, what is the 'parol evidence rule' and how does it affect real estate contracts?

AA rule allowing oral testimony to modify written contracts in all circumstances
BA rule that prevents using oral or prior written agreements to contradict the terms of a final written contract✓ Correct
CA rule requiring all real estate contracts to be witnessed by two parties
DA rule requiring attorneys to review all real estate contracts

Explanation

The parol evidence rule provides that once parties have executed a final, complete written contract, prior oral or written agreements that contradict the written contract cannot be used to modify or interpret it. In real estate, this means that oral promises made before signing the contract typically cannot be enforced if they contradict the written terms.

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