Shadow Houses were rumoured locations on Gallifrey where Time Lords were sent when something went wrong with one of their regenerations. The Valeyard claimed to have been confined to such a place after an examination revealed that his biodata was identical to the Doctor's. Inquisitor Darkel denied that such places had ever existed, but her wording implied that they were indeed real and Time Lords had covered up their existence by erasing them from time.(AUDIO: Trial of the Valeyard)