Gift Card Issue - California

[VeronicaLodge]

here is a link to a little table discussing the differences between asset purchases and stock purchases of companies.

http://smallbusiness.findlaw.com/st...ics/starting-business-buying-asset-stock.html

 

[Zigner]

again, it depends on how they bought it, not what they say or what a judge might think is fair, if the literally only bought assets they will NOT BE HELD LIABLE FOR THE LIABILITIES. this is basic business law.

And, just to be perfectly clear for our OP.
The business name IS an asset.

 

[VeronicaLodge]

And, just to be perfectly clear for our OP.
The business name IS an asset.

exactly! if its a well known company, its one of its MAIN ASSETS.

i worked for a 100 year old company that made a popular and well know brand of products, it went bankrupt in 2005, another well known company bought assets only out of bankruptcy and not even all assets, but the machinery, the IP (patents and trademarks) and the company name (which was one of the trademarks, duh), and are selling today products that look and are exactly the same with the same name on it, you would not really know it was another company that owned and produced the products now unless you did the research. They did not buy any liabilities including pensions to employees who worked for 30+ years and pending lawsuits in the millions for which there was no insurance because the company was self insured when it was viable.

 

[swjl587]

Thanks for the guidance. All points well taken and understood, especially as it relates to asset (only) sales, names and IP as assets, etc. Conclusion – Not worth it for me to pursue. I think I knew this to begin with but was hoping for an opening somewhere based on some type of consumer protection precedent. Doesn’t look like one exists.

Not that it’s matters much but from what I was able to dig up, the sale of the company from one group of owners to the other did not involve a BK.