34 Vill. L. Rev. 1123 (1989)
Disclaimers of Implied Warranty in the Sale of New Homes

handle is hein.journals/vllalr34 and id is 1139 raw text is: 1989]

DISCLAIMERS OF IMPLIED WARRANTY IN THE
SALE OF NEW HOMES
FRONA M. POWELL*
TABLE OF CONTENTS
I.  INTRODUCTION  ......................................  1124
II. NATURE OF THE IMPLIED WARRANTY OF HABITABILITY
IN SALES OF REAL PROPERTY .......................... 1126
A. Rationales for Imposition of the Implied Warranty .... 1126
B. History of Development of the Implied Warranty ...... 1129
C. Nature of the Implied Warranty .................... 1130
III. DISCLAIMERS OF THE IMPLIED WARRANTY ............. 1132
A. Relevant Provisions of the UCC .................... 1133
1. Express Disclaimers of Implied Warranties (UCC 2-
316(2))  .....................................  1134
2. As Is Disclaimers (UCC 2-316(3)(a)) ......... 1137
3. Cumulation and Conflict of Warranties: Does an
Express Warranty Exclude an Implied Warranty?_ 1138
4. Limitation of Remedies (UCC 2-719) ............ 1139
B. General Requirements for Effective Disclaimers of Implied
Warranty in the Sale of Real Property ............... 1141
C. Cases Where the Disclaimer Was Ineffective ........... 1143
1.  Express  Warranty  Cases ........................  1144
2. As Is and In Its Present Condition Disclaimers 1146
3. Express Disclaimers of Implied Warranty Protection 1148
D. Cases Where the Disclaimer Was Effective ............ 1151
1. Cases Where Policies Underlying the Implied
Warranty Were Not Served ..................... 1151
2. Cases Relying on Freedom of Contract ............ 1153
IV. ARGUMENT: DISCLAIMERS IN THE SALE OF NEW
RESIDENTIAL PROPERTY BY BUILDER-VENDORS SHOULD
BE DECLARED VOID As AGAINST PUBLIC POLICY ....... 1156
A. Rationales Distinguishing Sale of Goods Cases ........ 1156
B.  Policy Against Subterfuge ..........................  1159
V .  CONCLUSION  ........................................  1160

(1123)

* Assistant Professor, Indiana University School of Business.

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