Court Opinion

ID: 9740806
Source: CourtListenerOpinion
Date Created: 2023-08-26 20:41:57.862711+00
Date Added: 2024-06-11T07:24:20.363577
License: Public Domain

SABERS, Justice
(specially concurring).
I concur in all respects.
I write specially to point out that disclaimers of express and implied warranties and limitation of damages to replacement of product, must be conspicuous in fact and eonscionable in fact to be enforceable. SDCL 57A-1-201(10), SDCL 57A-2-316, and SDCL 57A-2-719. Even if disclaimers and limitations are sufficiently conspicuous to comply with the statutory language of the Uniform Commercial Code (UCC), they may still be inconspicuous in fact, if, by the genius of product packaging, the color, size, emphasis, or distractions on the package substantially detract from the disclaimer or limitation.
In this case, the letter of the UCC sections cited above was promptly surpassed by the genius of the packaging industry which destroyed the spirit of the UCC requirements.* To be valid disclaimers and limitations should not be swallowed up in size, color, emphasis, or by other distractions.

 In addition to UCC 2-316(3)(a) approved expressions like "as is” or “with all faults,” suggested language could be:
Buyer beware;
Buy and plant at your own risk;
This seed may not germinate; if it does germinate, it may not emerge; if it does emerge, it may not yield.
A method of making disclaimers of warranties and limitations of damages eonscionable and to provide the buyer a real choice would be to sell a product with a warranty for X-amount and to sell the same product without a warranty for the same amount less the value of the warranty. If remedies and damages were also limited, a separate reduction in price could be given. A careful seller would require the buyer to clearly indicate his understanding and acceptance of these terms on the purchase slip or receipt.