- 12 - this Court in determining the knowledge and intent of decedent in granting the powers of attorney. When we are required to make a State law determination as to the existence and extent of legal rights and interests created by a written instrument in order to decide a case over which we have jurisdiction, “we must look to that State’s parol evidence rule in deciding whether or not to exclude extrinsic evidence that bears on the disputed rights and interests under the instrument.”9 Estate of Craft v. Commissioner, 68 T.C. 249, 263 (1977), affd. per curiam 608 F.2d 240 (5th Cir. 1979); see also Stevenson v. Commissioner, T.C. Memo. 1986-207 (applying Oregon law); Young v. Commissioner, T.C. Memo. 1985-221. Since this case requires us to decide whether the power to make gifts was granted to Ms. Thompson by the powers of attorney given to her by decedent, we must examine the applicable State parol evidence rule and decide whether it requires us to exclude the disputed testimony. The parties agree that Oregon State law applies. Oregon’s parol evidence rule, codified in Or. Rev. Stat. sec. 41.740 (1999), provides: When the terms of an agreement have been reduced to writing by the parties, it is to be considered as containing all those terms, and therefore there can be, between the parties and their representatives or 9“The so-called parol evidence rule is a misnomer; the rule is one of substantive law and not one of evidence.” Estate of Craft v. Commissioner, 68 T.C. 249, 262-263 (1977), affd. per curiam 608 F.2d 240 (5th Cir. 1979).Page: Previous 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Next
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