PAA: The Rambam basically says that (maybe in the Iggeres on astrology) that when Chazal say something that we know to be false via empirical evidence (to him meaning rationalist logic and/or scientific evidence) then we can say that those statements of Chazal were in error. (It is unclear if he is even talking about statements that have Halachah L’ma’aseh applications or just Aggad’ta/scientific statements. The former is what makes more sense for him to have meant but the latter just sits better with our sensibilities.)
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