Many states have laws that provide for implied warranties made by sellers (known as merchants) in sales of goods. These implied warranties are designed to protect buyers of goods whether or not there is a written warranty for the goods, and whether the goods are new or used.

Implied Warranty of Merchantability

Implied warranties generally provide assurances or promises that the goods are fit for their intended purpose and that the goods are merchantable—meaning they conform to or meet an ordinary buyer’s expectations. This implied warranty is known as the implied warranty of merchantability.

In some states this implied warranty of merchantability may be disclaimed by a seller or merchant when the goods are sold with the disclaimer that they are sold “as is” or “with all faults.” But in some states this warranty cannot be disclaimed—at least not in the sale of new goods.

Implied Warranty of Fitness

The implied warranty of fitness—also known as the implied warranty of fitness for a particular purpose or the implied warranty of fitness for a specific purpose—means a product is guaranteed to be fit for a specific purpose or use, as stated or recommended by the merchant’s salesperson or other representative.

Implied Warranty Against Infringement of Intellectual Property

Some state laws include an implied warranty against infringement of a third-party’s intellectual property. This means that if a merchant sells a product that infringes another person or entity’s intellectual property (patent, copyright, or trademark), they seller that sold the infringing goods must indemnify or protect the buyer against any infringement claim by the owner of the intellectual property.

Where to Find Warranty Laws

Warranties in the sale of goods are usually located in a state’s statutes—often in the state’s adopted version of Article 2 of the Uniform Commercial Code (UCC).

In South Carolina, as in many other states, the law provides for implied warranties in the sale of goods, which are designed to protect buyers. These include the implied warranty of merchantability, which ensures that goods are fit for their general purpose and meet ordinary buyers' expectations. South Carolina law allows for the disclaimer of the implied warranty of merchantability under certain conditions, such as when goods are sold 'as is' or 'with all faults.' Additionally, there is the implied warranty of fitness, which guarantees that a product is suitable for a particular purpose as stated or recommended by the seller. South Carolina's statutes also encompass the implied warranty against infringement of intellectual property, protecting buyers if a merchant sells a product that infringes on another's intellectual property rights. These warranties are typically found in the state's version of the Uniform Commercial Code (UCC), specifically in Article 2, which deals with the sale of goods.