Does the original businessthat offered a life time warranty still have liability if they sell the business, but are still in business on other towns?

Had foundation repair done with a life time
warranty. They sold the area contracts to a
second business who now refuses the warranty
work. The original business is still operating in
other areas.

Asked on August 20, 2018 under Business Law, Texas


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 2 years ago | Contributor

If they sold the "contracts" that should include the warranties: the new owner of the contracts should be responsible to honor the warranties. If they did not sell the existing contracts, the old company is still liable. Under the circumstances you describe, one of the two must be liable or responsible for the warranty. If you need to enforce the warranty, sue *both* companies (name them both as defendants) for "breach of contract" since you are not privy to the terms of sale and who is responsible; therefore, you name both parties that may be responsible and let them fight it out in court over who has to pay.

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