Disclaimers in contracts are generally included when one party wants to sell a product or service without any guarantee of its quality (merchantability) or suitability for the buyer’s intended use. Guarantees of a product’s quality or suitability are also known as warranties, and may be implied in the parties’ agreement without being written or spoken—usually by virtue of a state’s statutes adopting the Uniform Commercial Code’s provisions governing the sale of goods (Article 2)—or by court opinions (also known as common law or case law). Some states have laws (statutes) that prohibit the disclaimer of warranties; make disclaimers ineffective; and penalize parties who attempt to disclaim such warranties. Disclaimers in contracts also serve as an explicit warning to the parties of the risks in a sale or transaction and help avoid a subsequent claim that a party was unaware of such risks or was deceived regarding the presence of such risks.

In Nebraska, disclaimers in contracts are subject to the provisions of the Uniform Commercial Code (UCC), which Nebraska has adopted. Under the UCC, particularly Article 2 which deals with the sale of goods, sellers can disclaim or modify warranties, including the implied warranties of merchantability and fitness for a particular purpose. However, such disclaimers must be conspicuous and specific to be effective. For example, a disclaimer of the implied warranty of merchantability must mention 'merchantability' and, in the case of a written disclaimer, be presented in a way that is noticeable to the buyer, such as in a larger or different font. Disclaimers of the implied warranty of fitness for a particular purpose must be in writing. Nebraska law also follows the common law, which may impact the enforceability of disclaimers based on factors such as fairness and the circumstances of the transaction. It is important for parties in Nebraska to understand that while disclaimers can limit liability for certain risks, they must be crafted in accordance with the UCC and relevant case law to be valid and enforceable.