Legal Question in Consumer Law in Texas

Am I safe or should I comply?

I recently sold a warehouse full of merchandise to a buyer stating that all was in sellable condition to my knowledge. She agreed to purchase, but never really inspected prior to payment. She also signed a purchase agreement that states that everything is being sold as-is. I had a 3rd party witness the signature and sign as a witness. She is now threatening to sue me for the retail value of merchandise that she found that was unsellable. What should I do? I did not know that they were were broken, or they would not have been sold. Also, she never inspected and she signed the agreement.


Asked on 3/08/07, 11:34 am

2 Answers from Attorneys
Johm Smith tom's

Re: Am I safe or should I comply?

You may be safe, but an attorney would need to read your contract and know a few more facts and possibly research this specific issue.

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Answered on 3/08/07, 11:38 am
Peter Bradie Bradie, Bradie & Bradie

Re: Am I safe or should I comply?

She may have a case for a pro rata cost of the damaged goods to the purchase price for the whole lot. She's not entitled to retail value for a wholesale loss.

The commercial code allows inspection after the sale, within a reasonable time, so her failure to inspect beforehand doesn't count. Her buying as-is is countered by your assurance that all was in sellable condition.

This is something best negotiated to a settlement rather than gambling on a lawsuit.

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Answered on 3/08/07, 12:50 pm


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