Ahh, yes... wouldn't be a bad idea to apply uc_order_is_shippable() to those. Putting it on the to-do unless someone submits a patch first.

Invoice was fixed, leaving the order panes up in case an item gets added to an order that makes it shippable.

I posted a bug to the Ubercart queue at drupal.org on this same issue. My problem is that the "Calculate Shipping Cost" is also displaying and since it appears to be required, the user is unable to complete checkout.

I am using beta5, Drupal 5.5, and PostgreSQL.

Edit your non-shippable products and uncheck the box labeled 'Product and its derivatives are shippable.', for me this is found right above the weight field.