The author neglects to mention the most important rishon on aggadata: Rabbi Avraham Ben HaRambam. His essay on how to interpret and understand midrash/aggadata is the introduction to every copy of the Ein Yaakov aggadata compilation. He points out that there are many ways to interpret aggadata that are consistent with respect for our rabbinic tradition, giving examples. He also points out that a subset of aggadata are for paskening, and warns both against excessive literalism in interpretation against disrespect for our sages.
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