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Firm gone bust - rights?

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Elaine | 07:42 Wed 24th Oct 2007 | Law
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We live in Scotland, I know some of our laws are different to the rest of the UK, and had a conservatory built 7 years ago, it came with a 10 yera guarantee.

We've got problems with a couple of windows and tried to contact the company but have found out that they've been liquidated.

We've discovered that someone else has taken them over, albeit under a new name but at the same premises and as the same type of business.

Do we have any redress with this new company, would should they have taken over the liability of the guarantee?

Thanks

Elaine
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you have no redress with the new company at all,but they might be sympathectic to your cause,you can only ask.
I, too, had a similar experience with a conservatory.

The company I dealt with went into liquidation. A �new� company took over their premises, their staff and their trading name with no break in operation. The directors of the liquidated company are identical to those of the new company. They resumed trading (still �trading as� the same name as the old company). They continue to advertise in the local press under the same name (which is merely a trading name) and as �established since the year dot�.

The only thing they did not take over was their responsibilities to their existing customers under the worthless �guarantees� they still claim to offer. Anecdotal evidence from other local traders (whom I had to consult to get my conservatory rectified) suggests that suppliers were caught short as well as customers and that this was the fourth or fifth time that this same company (sorry � different companies trading under the same name) had operated this fraud. (Yes, I know technically it�s all perfectly legal, but I class it as fraud).

I�ve tried to look on the bright side by thanking my stars that they completed the work before they went (allegedly) skint. I also claim some solace by making sure that everybody I know is aware of their practices and steer well clear.

Unfortunately under current UK Company Law this is all quite acceptable and you have no redress.
The moral of the story (in case anyone else is just buying a conservatory) is that an offer of a guarantee is worthless unless it is an insurance backed warranty whereby a large and financially robust insurer takes on the liability for the warranty and for that to happen the conservatory company would have to pay a premium to the insurer at the time of construction.

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