Byline: Eric Freedman
The owners of a Mazda dealership are not liable for extended warranties sold by the previous owner, the South Carolina Court of Appeals has ruled. The court said the new owners did not assume the dealership's liabilities when they bought its assets.
The decision is a victory for Ken McManus and Eric Sigmon, who bought the assets of Mazda of Rock Hill, now called Team Mazda. It is a loss for Bobby Walton, who says the new owners illegally refused to honor a service contract he bought from the dealership's previous operator.
The case
According to court records and lawyer interviews, in August 2002 Walton bought a 1999 …
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