Legal Question in Product Liability in Texas
we bought a motor home in oct of '08 the sale included one year free bumper to bumper warranty. We not longer have a warranty as the
the company that manufactured the MH has gone bankrupt. Is this a breach of the sales contract since we no longer have a warranty?
1 Answer from Attorneys
Not a product liability question, but rather a contract law question. However, you will understand that there is not breach of the warranty until you make a warranty claim and they refuse to honor it. You are incorrect to say that a bankruptcy necessarily terminates a warranty such that you no longer have any warranty. A bankrupt company is not precluded from honoring a warranty if the bankruptcy trustee thinks it should honor it, for example as part of maintaining the reputation of the company for a potential buyer in bankruptcy. Also, there may be insurance (for example if there is a lender) involved that forces some insurer to honor the warranty. If you are trying to void the sales contract, you will first want to check with the company, or the bankruptcy trustee (you can get the name from the court) to see if they are still honoring warranties.