Which of the following is the complete set of PER exceptions under the 'DAM FOIL' mnemonic?

Which of the following is the complete set of PER exceptions under the 'DAM FOIL' mnemonic?

• A. Duress, Ambiguity, Mistake, Fraud
• B. Duress, Ambiguity, Mistake, Fraud, Oral condition precedent, Illegality, Lack of consideration
• C. Duress, Ambiguity, Mistake, Oral condition precedent
• D. Duress, Ambiguity, Fraud, Lack of consideration

Answer: (B)

The parol evidence rule has specific exceptions that let extrinsic evidence come in for certain defenses or interpretations. The DAM FOIL mnemonic names all of them: Duress, Ambiguity, Mistake, Fraud, Oral condition precedent, Illegality, and Lack of consideration. Each item is a situation where evidence outside the written contract is admissible: Duress shows the agreement wasn’t truly voluntary; Ambiguity allows outside evidence to clarify a vague term; Mistake lets evidence of drafting or understanding errors affect the terms; Fraud permits evidence of deceit that induced the contract; Oral condition precedent acknowledges a prerequisite oral condition that must occur before obligations arise; Illegality covers contracts formed for illegal purposes; Lack of consideration recognizes that a promise lacking valid consideration may be unenforceable. Because those seven categories collectively constitute the complete set of PER exceptions, that option is the correct one.

The parol evidence rule has specific exceptions that let extrinsic evidence come in for certain defenses or interpretations. The DAM FOIL mnemonic names all of them: Duress, Ambiguity, Mistake, Fraud, Oral condition precedent, Illegality, and Lack of consideration. Each item is a situation where evidence outside the written contract is admissible: Duress shows the agreement wasn’t truly voluntary; Ambiguity allows outside evidence to clarify a vague term; Mistake lets evidence of drafting or understanding errors affect the terms; Fraud permits evidence of deceit that induced the contract; Oral condition precedent acknowledges a prerequisite oral condition that must occur before obligations arise; Illegality covers contracts formed for illegal purposes; Lack of consideration recognizes that a promise lacking valid consideration may be unenforceable. Because those seven categories collectively constitute the complete set of PER exceptions, that option is the correct one.