Be Wary Of Warranties For Software Design

In Short

The Situation: Whether warranties accompany software used in other products turns on many factors, including whether the designer is providing a "good" or "service," statements in advertising, representations made in sales pitches, contractual terms, and state law.

The Issue: How can software suppliers balance their interest in promoting and selling their software while protecting themselves from unexpected liability for breach of warranty?

Looking Ahead: Careful planning and scrutiny of projects, promotional materials, sales presentations, and contracts can reduce the risk of liability for software suppliers while not inhibiting product sales.

Software drives myriad products, including products that can injure people (such as autonomous vehicles) or damage property (such as robots). Software design is often the first step in the supply of technology, artificial intelligence, or components required for a product. When software is critical to