Ala. Code » Title 7 · Article 2 · Part 3

Ala. Code § 7-2-316

Exclusion or Modification of Warranties

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Section 7-2-316

Exclusion or Modification of Warranties.

(1) 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 article on parol or extrinsic evidence (Section 7-2-202) negation or limitation is inoperative to the extent that such construction is unreasonable.

(2) Subject to subsection (3), 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.”

(3) Notwithstanding subsection (2):

(a) 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

(b) 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

(c) An implied warranty can also be excluded or modified by course of dealing or course of performance or usage of trade.

(4) Remedies for breach of warranty can be limited in accordance with the provisions of this article on liquidation or limitation of damages and on contractual modification of remedy (Sections 7-2-718 and 7-2-719).

(5) Nothing in subsection (2) or subsection (3) (a) or in Section 7-2-317 shall be construed so as to limit or exclude the seller’s liability for damages for injury to the person in the case of consumer goods.

(Acts 1965, No. 549, p. 811.)

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Notes of Decisions
Cited in 37 cases (3 in the last 5 years), 1980–2026 · leading case: Spain v. Brown & Williamson Tobacco Corp.
Sort: Relevance Newest Treatment
Spain v. Brown & Williamson Tobacco Corp. (2003) ala · cites it 3× “See also Official Comment to § 7-2-316, at paragraph 8 ("Of course if the buyer discovers the defect and uses the goods anyway, or if he unreasonably fails to examine the goods before he uses them, resulting injuries may be found to result from his own action rather than…”
Southern Energy Homes, Inc. v. Washington (2000) ala · cites it 5× “Limitations on express warranties are governed by § 7-2-316, *513 Ala.Code 1975. Section 7-2-316 provides in pertinent part: "(1) 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…”
Ex Parte General Motors Corp. (1999) ala · cites it 2× “Code 1975, provides: "Where the seller at the time of contracting has reason to know any particular purpose for which the goods are required and that the buyer is relying on the seller's skill or judgment to select or furnish suitable goods, there is unless excluded or modified…”
Turner v. Westhampton Court, L.L.C. (2004) ala · cites it 2× “Ala.Code 1975, § 7-2-316(3). Because it was the existence of an implied warranty as to personal property that was said to justify the recognition of an implied *93 warranty of habitability of a new house, should we not hold that this court-created warranty can be contracted away…”
Sparks v. Total Body Essential Nutrition, Inc. (2009) ala · cites it 6× “Code 1975, provides: "(1) Unless excluded or modified (Section 7-2-316), 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.”
In re Rust-Oleum Restore Marketing, Sales Practices & Products Liability Litigation (2016) ilnd “See also Ala. Code § 7-2-316 (2); Cal. Com. Code § 2316 (2); Colo.”
La Trace v. Webster (2008) alacivapp · cites it 6× “A clause generally disclaiming `all warranties, express or implied' cannot reduce the seller's obligation with respect to such description and therefore cannot be given literal effect under Section 7-2-316. " (Emphasis added.) In Balog v.”
MONTGOMERY RUBBER AND GASKET CO., INC. v. Belmont MacHinery Co., Inc. (2004) almd · cites it 4× “” 1975 Ala.Code § 7-2-316. The invoice Belmont Machinery alleges it sent Woody does state that the machine is sold “AS-IS.”
Moorer v. Hartz Seed Co. (2000) almd · cites it 6× “Code § 7-2-316 (1997). A party may exclude or disclaim any implied warranty of merchantability or any implied warranty of fitness for a particular purpose by including the appropriate language of disclaimer in the contract or agreement.”
Dairyland Ins. Co. v. General Motors Corp. (1989) ala · cites it 2× “) Alabama Code 1975, § 7-2-316, contains the provisions for exclusion or modification of warranties.”
Morris Concrete, Inc. v. Warrick (2003) alacivapp · cites it 2× “Code 1975, provides: "`Where the seller at the time of contracting has reason to know any particular purpose for which the goods are required and that the buyer is relying on the seller's skill or judgment to select or furnish suitable goods, there is unless excluded or modified…”
Laferrera v. Camping World RV Sales (2016) alnd · cites it 6× “Ala. Code § 7-2-316 . For the implied warranty of merchantability, if a disclaimer is in writing, it must mention merchantability and be conspicuous.”
Show all 37 citing cases →
— Ala. Code § 7-2-316(1) — 4 cases
La Trace v. Webster (2008) alacivapp “A clause generally disclaiming `all warranties, express or implied' cannot reduce the seller's obligation with respect to such description and therefore cannot be given literal effect under Section 7-2-316. " (Emphasis added.) In Balog v.”
Southern Energy Homes, Inc. v. Washington (2000) ala “Limitations on express warranties are governed by § 7-2-316, *513 Ala.Code 1975. Section 7-2-316 provides in pertinent part: "(1) 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…”
Credit Alliance Corp. v. Cornelius & Rush Coal Co., Inc. (1980) alnd
Zachary Hopkins v. Serra Nissan Oldsmobile, Inc., et al. (2026) alnd
— Ala. Code § 7-2-316(2) — 5 cases
Nationwide Agribusiness Insurance v. SMA Elevator Construction Inc. (2011) iand
Morgan Building and Spas, Inc. v. Gillett (2000) alacivapp
Moorer v. Hartz Seed Co. (2000) almd “Code § 7-2-316 (1997). A party may exclude or disclaim any implied warranty of merchantability or any implied warranty of fitness for a particular purpose by including the appropriate language of disclaimer in the contract or agreement.”
Miller v. Pettibone Corp. (1996) alacivapp
The Harris Waste Management Group, Inc. v. Hydratech Industries Fluid Power, Inc. (2017) alsd
— Ala. Code § 7-2-316(3) — 2 cases
Turner v. Westhampton Court, L.L.C. (2004) ala “Ala.Code 1975, § 7-2-316(3). Because it was the existence of an implied warranty as to personal property that was said to justify the recognition of an implied *93 warranty of habitability of a new house, should we not hold that this court-created warranty can be contracted away…”
Stewart v. Bradley (2008) alacivapp
— Ala. Code § 7-2-316(4) — 1 case
Winchester v. McCulloch Bros. Garage, Inc. (1980) ala
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