How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Dimitry K., Esq. Your Own Question
Dimitry K., Esq.
Dimitry K., Esq., Attorney
Category: Business Law
Satisfied Customers: 41221
Experience:  Run my own successful business/contract law practice.
18572087
Type Your Business Law Question Here...
Dimitry K., Esq. is online now
A new question is answered every 9 seconds

What would be a cause of action against C in this fact pattern

Customer Question

What would be a cause of action against C in this fact pattern: A sold business to B and received a promissory note from B for the balance of the amount due. B eventually defaulted and, without giving notice to A, sold the business to C.
Submitted: 7 years ago.
Category: Business Law
Expert:  Dimitry K., Esq. replied 7 years ago.
<p>C can be sued for fraud if it had knowledge that the business was already sold to A. If C is a bona-fide purchasor for value, then it comes to superiority of title and ownership. Generally the first one to record their interest (new name, new owners, new controllers) wins.</p><p> </p><p> </p><p>Sincerely,</p><p> </p><p>Dimitry Alexander Kaplun, Esq.</p>

Related Business Law Questions