Key Takeaways

  • Disclaiming a warranty limits a seller’s legal liability by stating that no guarantees are provided regarding a product’s condition or performance.
  • Warranties may be express (clearly stated) or implied (automatically assumed under law).
  • A valid disclaimer of implied warranties must be conspicuous and typically must use specific legal language.
  • Disclaimers are commonly included in contracts, sales agreements, and website terms to manage risk.
  • State laws, particularly the Uniform Commercial Code (UCC), govern the effectiveness and enforceability of warranty disclaimers.

A disclaim warranty is one in which the warranty document is letting the buyer know that the seller is not to be held to any promises or responsibilities regarding the product. This can be done retroactively to negate a previously existing warranty, or it can be included with the product’s warranty prior to sale and purchase.

What Is a Warranty?

So, we know what disclaim warranty is, but what is an actual warranty?

A warranty is a promise made by the seller to the buyer about a product or device, ensuring its quality, usability, or reliability. If, for some reason, the product proves to be defective, then the seller could be held in breach of warranty.

Why Disclaim a Warranty?

Sellers and manufacturers often disclaim warranties to limit their liability and avoid legal disputes if a product fails or does not meet expectations. A disclaimer clarifies that the buyer assumes the risk of product defects or unsuitability, especially in "as-is" sales or heavily discounted transactions. Disclaimers also help manage expectations in consumer and business-to-business transactions, particularly when the seller cannot control how the product will be used. For example, resellers of used goods frequently disclaim warranties to prevent claims related to wear, damage, or obsolescence.

Express or Implied Warranties

Generally, a warranty falls into one of two categories: express warranties or implied warranties. The key differences among them are:

  • Express warranties are ones in which the responsibility of the seller is expressed to the buyer via words and/or actions. For example, a written consumer warranty, along with instructions as to how go about returning an item and/or seeking a refund or replacement, and product information and descriptions all fall within the scope of an express warranty. Generally speaking, when we speak of warranties, this is to what we are referring.
  • Implied warranties are those in which, as the name reflects, the warranty is assumed to exist, whether or not it had ever been clearly stated. There used to be an adage in the consumer world of “buyer beware;” the idea of the implied warranty essentially did away with that, providing buyers the right to safely assume that products they purchase will be in good working order.

A more specific example of an express warranty would be if you are in a store and see the floor model of a couch you would like to purchase. The express warranty provides the guarantee that the couch that ultimately gets delivered to your home is of the same quality as the one you saw in the store.

Meanwhile, an implied warranty may exist if you purchase an engagement ring at Tiffany’s and a written (or express) warranty is not included with your purchase. As Tiffany’s is arguably one of the best jewelry stores in the world, specializing in the creation of engagement rings, you, as the buyer, have a right to assume that you are purchasing a high quality gemstone and metal, one that will not come apart. With that said, the implied warranty also assumes that you are using (or, in this case, wearing) the item in keeping with its intended purpose.

For example, if you start using the diamond in the ring, to cut glass, then Tiffany’s could claim that the ring was not being used as intended, thus voiding any kind of warranty. This can also be known as an implied warranty of merchantability.

An implied warranty of merchantability only applies to those products in which the seller actually specializes. So, while Tiffany’s certainly has an implied warranty of merchantability insofar as engagement rings are concerned, if the company sells a box of unused computer printer paper to the Apple Store down the street, there is no implied warranty of merchantability.

How to Properly Disclaim a Warranty

To effectively disclaim a warranty, sellers must follow specific legal requirements. The Uniform Commercial Code (UCC), adopted in some form by all U.S. states, outlines these requirements:

  • Use of clear language: The disclaimer must include specific terms like "as is" or "with all faults" to waive implied warranties.
  • Conspicuous presentation: The language should be clearly visible, often by using bold font, all caps, or separate sections in a contract.
  • Written disclaimers: For implied warranties, especially merchantability or fitness for a particular purpose, disclaimers must often be in writing to be enforceable.
  • Mention of merchantability: To disclaim the implied warranty of merchantability, the term “merchantability” must be mentioned specifically in the disclaimer.
  • Custom or course of dealing: Prior dealings or industry practices may impact whether a disclaimer is enforceable.

Failing to meet these requirements can render the disclaimer invalid and expose the seller to liability.

Additional Warranties

In addition to the previously mentioned implied warranty of merchantability, there is also the implied warranty of fitness for a particular purpose. In this case, the implied warranty is that the buyer is relying on the experience and expertise of the seller as it pertains to a certain product and it’s usability. For example, if you are buying a lawnmower and you go to John Deere, you have the right to assume that that entity has a certain expertise when it comes to lawnmowers, while the seller is also able to assume that you are purchasing a lawnmower for the specific purpose of cutting your grass.

Now, if you tell the seller that you also want to use the lawnmower as a mode of transportation to get from your house to your neighbor’s, then the implied warranty still exists for whatever lawnmower you are sold; however, if you fail to mention that aspect of your intent, then the seller can make the claim that the warranty is no longer valid, and they were not aware of the additional uses you wanted the lawnmower to serve, when they sold it to you.

Legal Limits on Disclaiming Warranties

While disclaimers are powerful legal tools, they are not unlimited. Courts may refuse to enforce a disclaimer if it is deemed unconscionable, misleading, or if it conflicts with public policy. In some jurisdictions, especially in consumer sales, disclaimers may be restricted or require additional disclosures.

For instance:

  • Some state laws prohibit disclaiming implied warranties on consumer goods altogether unless clearly and prominently disclosed at the time of sale.
  • Courts may assess whether the buyer had a meaningful opportunity to review the disclaimer before completing the transaction.
  • If a disclaimer contradicts express warranties made during the sales process, the express warranty will typically override the disclaimer.

Where Are Warranty Disclaimers Commonly Found?

Disclaimers of warranty appear in various legal and commercial settings, including:

  • Purchase agreements: Especially in real estate or vehicle sales, where items are sold “as is.”
  • Product packaging and manuals: Especially in electronics, software, and appliances.
  • Terms and conditions pages: Found on websites or in software licenses to protect companies from claims based on performance.
  • Contracts for services: Where the service provider limits responsibility for specific outcomes.

These disclaimers help reduce the risk of future disputes by clarifying what the buyer can expect—and not expect—from the product or service.

Frequently Asked Questions

  1. What does it mean to disclaim a warranty?
    To disclaim a warranty means the seller or service provider is stating they are not offering any guarantee about the quality or performance of a product or service.
  2. Can a seller legally disclaim all warranties?
    Generally, yes—especially in commercial sales—but the disclaimer must be clear, conspicuous, and meet legal standards under the UCC.
  3. Do “as-is” sales automatically disclaim all warranties?
    Yes, the phrase “as is” is legally recognized as a valid disclaimer of implied warranties in most jurisdictions, unless otherwise prohibited by state consumer laws.
  4. Is a verbal disclaimer of warranty enforceable?
    Usually not. Most disclaimers—especially for implied warranties—must be in writing and clearly communicated to be enforceable.
  5. Can express warranties override disclaimers?
    Yes. If a seller makes an express warranty, it can override any attempt to disclaim it, especially if the two conflict.

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