South Carolina Electric And Gas Co. v. Combustion Engineering, Inc.

322 S.E.2d 453 (1984)

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Nature of the Case

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Facts

P entered into the contract with D for the sale of the boiler. The sales contract expressly warrants the equipment to be free 'from defects in material and workmanship for a period of one year. The boiler became operational on March 18, 1973, and the fire that brought on this litigation occurred over two years later on May 19, 1975, the one-year warranty provision had expired at the time of the fire. The contract also stated that 'there are no other warranties, whether expressed or implied, other than title.' The circuit court, in granting D summary judgment on each cause of action alleging a breach of an implied warranty, ruled that the disclaimer excludes an implied warranty of merchantability as well as an implied warranty for fitness for a particular purpose. P appealed arguing that the disclaimer, as a matter of law, does not exclude the implied warranties alleged in its complaint because the disclaimer does not meet the requirements of Subsection (2) of Section 36-2-316 and that a question of fact exists as to whether the disclaimer can come within the exceptions to Subsection (2) permitted by Subsection (3) of that statute.