If the place I bought my gift certificate at went out of business before I could redeem it, can I make them refund my money?

UPDATED: Feb 9, 2012

Advertiser Disclosure

It’s all about you. We want to help you make the right legal decisions.

We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes and legal advice should be easy. This doesn’t influence our content. Our opinions are our own.

UPDATED: Feb 9, 2012Fact Checked

Get Legal Help Today

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

If the place I bought my gift certificate at went out of business before I could redeem it, can I make them refund my money?

I purchased a gift certificate for a couples massage but then the spa went out of business a month later. I just want my money back.

Asked on February 9, 2012 under Bankruptcy Law, Idaho


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

The problem is, who will you make refund your money? If the business had been a sole proprietorship, you may be able to sue the owner (if he or she doesn't refund the money voluntarily, the only way to get it is to sue). However, if the business had been a limited liability company (LLC) or corporation (inc.), only the busines itself would be responsible--and if the business is now out of business, there is no one to  collect from.

Note that even if there was someone to seek payment from--for example, the owner of a sole proprietorship--unless it was a *very* large gift certificate, it would likely not be worth suing over.

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 lock Secured with SHA-256 Encryption