Builder bankruptcy and home warranty

Get Legal Help Today

 Secured with SHA-256 Encryption

Builder bankruptcy and home warranty

I purchased a home on 04 JAN 2008 and the builder filed for bankruptcy on 29 JAN 2008. I was told that under the Bankruptcy Code warranties on homes that were purchased & closed prior to 29 JAN 2008 are no longer effective. I spoke to a rep from the company that purchased the warranty contracts and was basically told that I was on my own for any problems with the house. Do I have any legal options that I can pursue?

Asked on May 20, 2009 under Real Estate Law, Florida

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

If the builder went bankrupt, and the builder issued the warranty itself, and scheduled the warranty as an obligation on its bankruptcy filing, all you have is a claim against the bankrupt estate and value of the warranty is likely almost zero. 

If the warranty was issued by an iinsurance company, you have a claim against the insurance company regardless of the builder's bankruptcy.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

 Secured with SHA-256 Encryption