47-2316. Exclusion or modification of
warranties
A. Words or conduct relevant to the creation of an express warranty and words or
conduct tending to negate or limit warranty shall be construed wherever reasonable as
consistent with each other; but subject to the provisions of this chapter on parol or
extrinsic evidence (section 47-2202) negation or limitation is inoperative to the extent
that such construction is unreasonable.
B. Subject to subsection C of this section, to exclude or modify the implied
warranty of merchantability or any part of it the language must mention merchantability
and in case of a writing must be conspicuous, and to exclude or modify any implied
warranty of fitness the exclusion must be by a writing and conspicuous. Language to
exclude all implied warranties of fitness is sufficient if it states, for example, that
"there are no warranties which extend beyond the description on the face hereof".
C. Notwithstanding subsection B of this section:
1. Unless the circumstances indicate otherwise, all implied warranties are excluded
by expressions like "as is", "with all faults" or other language which in common
understanding calls the buyer's attention to the exclusion of warranties and makes plain
that there is no implied warranty; and
2. When the buyer before entering into the contract has examined the goods or the
sample or model as fully as he desired or has refused to examine the goods there is no
implied warranty with regard to defects which an examination ought in the circumstances
to have revealed to him; and
3. An implied warranty can also be excluded or modified by course of dealing or
course of performance or usage of trade.
D. Remedies for breach of warranty can be limited in accordance with the provisions
of this chapter on liquidation or limitation of damages and on contractual modification
of remedy (sections 47-2718 and 47-2719).
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