QUESTION

Is it legal for a business owner to not honor a gift certificate?

Asked on Apr 29th, 2013 on Entertainment Law - California
More details to this question:
I live in California. My husband bought me a gift certificate for a nail salon. I went to redeem it this weekend and after she did my pedicure informed me they cannot take it as they are a new owner. The place has the same name and has no signs posted stating as they could not take my gift certificate. She made me pay the $25.
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1 ANSWER

Susan Marie Basko
It depends whether the new owner bought the actual business, and with it, took on its contracts and debts and goodwill, or if it is just in the same space. It also depends how old the gift certificate is and the terms of the gift certificate. Gift certificates are meant to be used within a month or so, for reasons just like this.
Answered on May 02nd, 2013 at 12:52 AM

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