FFT-based Coded Orthogonal Frequency Division Multiplexing (COFDM) is one of the techniques for digital TV broadcasting over multipath fading channels. A FFT-based OFDM signal is subject to various hardware nonlinearities in both the transmitter and receiver. Hardware nonlinearities not only affect the in-band performance of a FFT-based OFDM system but also may affect the system performance of an adjacent channel signal because of regenerated sidelobes of the transmitted signal. The aim of this paper is to investigate the in-band and out-of-band behavior of a 64QAM-OFDM system under various nonlinear devices, It is shown that the inherent signal clipping in the IEFT processors with a limited word length reduces the required RF amplifier output backoff (dBO) where adjacent channel interference is the limiting factor. For 0.25% clipping rate, an additional 2dB OBO is required far the COFDM signal to achieve the same level of adjacent channel interference as for the single carrier system. The loss in SNR due to signal clipping is negligible in a coded OFDM system.