Can a company do this??? (Learning Curve)

[TigrLvsPooh]

I couldn't think of any other place to get some advice and opinions on this situation. So here it goes....

I started buying Thomas the Tank Engine products about 5 years ago. My kids just love them. The wooden railway series is made by a company called Learning Curve. On every box and inside pamphlet a lifetime guarantee is clearly written. They say "unconditional guaranteed for life!" on most of the packets, or some say "guaranteed to last a lifetime". So, I think that is pretty easy to understand. In fact, about a year ago I sent in two broken pieces and they were replaced, no questions asked.

Ok, so fast forward to yesterday, my youngest comes to me with one of the bridges broken. I go to the Learning Curve website to get the address to mail it in and find that the guarantee is now only a 90 day guarantee against manufacturer defects. So I call Customer Service and the woman informs me that their company was bought out and they are no longer upholding the lifetime guarantee on their products. I ask about products that are older, ones that were purchased before the company was bought out, and she says they aren't offering the lifetime guarantee on those items either. Can they do this? I can sort of understand changing the guarantee but it seems that older pieces would still have their lifetime guarantee because it is stated right on the box! Anyone have opinions on this??? What should I do???

 

[icebrat001]

That's not nice!

 

[cherylp3]

Do you still have a box that says unconditional guarantee?

If so, I would contact your local better business bureau, the better business bureau of the state the company operates out of, the attourney general's office in your state and the atty. generals office of the state the company operates out of.

Cheryl

 

[LMC]

Unless you have the box stating the unconditional lifetime guarantee or a receipt proving you purchased it before the company was bought out and their guarantee/replacement policy was changed you're probably out of luck!
If you have the box, I would contact them again, tell them you have the box you purchased it under that "agreement" and when they purchased the company they bought into all previous agreements that were made. If you still don't get a response from them, tell them you will contact BBB and if you have a local TV station that does help segments, get them involved. One call from them trying to find out why they won't honor their guarantee (if you have the proof!) and you'll have your new piece!

 

[bicker]

It depends on the terms of the acquisition. When a company goes under, the company's assets are typically liquidated to raise funds to pay off the company's secured creditors. Of course, the company name, product designs, etc., are the greatest assets, and have the greatest value. It's typically rather easy to find a buyer for them, and that helps pay off some of the secured creditors who are owed money -- at least they get something. It is often much more difficult to find a buyer willing to take on open-ended liabilities such as warranty obligations, so often those obligations go down with the company that ceased operations. Clearly, if the new company didn't agree to take on the "unconditional lifetime guarantee" then they're surely not responsible for addressing the problem. So the responsibility rests with the old company, the one that has ceased operations and gone out of business.

I found what I think is the text of the ASSET PURCHASE AGREEMENT for the assets of Learning Curve. This is what it says: "Retained Liabilities. Buyer and its Affiliates shall not assume and shall not be responsible for, and there shall not be transferred to or assumed by Buyer or any of its Affiliates, any Liabilities of Seller or its Affiliates (or any predecessor thereof)..."

 

[TigrLvsPooh]

I knew you guys would be able to help me!!!

Ok... I don't have boxes, but I do have the paper booklets that came inside the various Thomas items I've bought over the years. Here are a few samples that I scanned in..... the new company that bought Learning Curve is called "RC2". If you notice on the darker blue sample it says RC2 on it!!! So they must have changed the guarantee AFTER they had already purchased the company!!!

 

[TigrLvsPooh]

Oh! And I just noticed it says RC2 on the lighter blue paper as well. And it is a brand new item I just got this month!! Now something is fishy with this.

 

[cherylp3]

I would call your local BBB and atty. generals office tomorrow.

Tell them exactly what you've told us, you have the booklets only and you called the business and they are no longer honoring the guarantee.

Ask them for advice, they are the professionals.

Cheryl

 

[TigrLvsPooh]

Ok, thanks for the advice! Hopefully they'll honor the guarantee. I really don't see how they can get out of it when it's written right on the paper!

 

[cherylp3]

I checked the Chicago BBB website, apparently others have problems as well and the BBB resolved them.

http://www.chicago.bbb.org/commonreport.html?bid=16003204

 

[bicker]

Sounds like they will honor the old warranty only when the issue is escalated.