And lets say, my application is a simple feed reader. Does my app really have to include the no warranty notice?
3 Answers
A "no warranty" clause gives you limited protection from being made liable for any damage caused by your program. How much protection varies from jurisdiction to jurisdiction.
One scenario where a "simple news reader" could cause damage is through a security vulnerability. A malicious newsfeed could exploit a bug in your reader and infect the users machine with malware which deletes important files on their machine or disclose sensitive information to a 3rd party. When the hoster of the newsfeed can not be located, the user might try get compensation for their damage from you.
Another potential scenario could be a bug which causes it to poll the server very frequently. This could be interpreted as a DOS attack on it. The server hoster could decide to ban the user from using its services or even press charges for computer sabotage. The user could then try to make you liable for this mess.
I am not a lawyer, so I can not estimate how likely it is that your users could be successful in court. You should consult one for more information.

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11To my knowledge, no one has ever been successfully sued for security vulnerabilities causing damage. If they could be, one would think Microsoft could never get out from under... – Michael Kohne Oct 06 '13 at 00:00
Unfortunately, it really depends on your exact locality. Some places such a disclaimer is pointless because the law doesn't assume a warranty unless one is offered. In other places, it will make clear that you don't have a warranty, and in still other places, the law includes an automatic warranty of some sort, which you CAN NOT opt out of providing.
So, in order to answer this question, you're gonna need a lawyer familiar with your jurisdiction, and any others where you plan to distribute.
Alternately, you can put the phrase in, ship it, and hope. You'll at least be covered in locations where such a disclaimer is valid.

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Well, if your application breaks, I know people who would be happy to sue you for your house and shirt too. Don't take legal issues slightly specially if you are in the G7 (may be G7-2) countries.

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