Article 2 — Sales · Section 2-316
An overview of UCC § 2-316 regarding exclusions and modifications of warranties in the sale of goods.
Source: U.C.C. § 2-316
Unless excluded or modified, a warranty that the goods shall be merchantable is implied in a contract for their sale if the seller is a merchant with respect to goods of that kind. A seller may exclude or modify any implied warranty of merchantability by mentioning that fact, or by using phrases such as 'as is' or 'with all faults.'
UCC § 2-316 discusses how sellers can limit or exclude implied warranties related to the quality of goods they sell. This allows them to protect themselves from liability regarding the condition of the goods if they explicitly state that certain warranties do not apply.
An unspoken, unwritten guarantee that the product will meet a minimum level of quality.
A seller who deals in goods of the kind sold or holds themselves out as having knowledge or skill specific to the goods.
Example 1
A car dealership sells a used car with a statement that it is sold 'as is,' thus excluding any implied warranties of quality.
Example 2
A retailer clearly labels a set of cookware as having no warranties by saying, 'With all faults,' thereby limiting their liability.