Legal Question in Civil Litigation in Louisiana

false pretense

I was in the process of purchasing a preschool/ gameroom. I put a $10,000 down payment on the business. I later learned that the business was not licensed as a preschool. The business was licensed as a gameroom only. I was told by the business owners they were licensed preschool. I also learned the business owes back sales tax. I also learned that I would be responsible for any taxes and/or penalties due by the city and statefro their neglect if i fully purchased the business. The down payment and business transaction was completed through a notary. Can I file criminal and/or civil charges for false pretense since the business was not legally licensed for a preschool, even though I was told it was. The majority of the income is received from the preschool.

Asked on 12/17/07, 11:53 pm

1 Answer from Attorneys

Nick Pizzolatto, Jr. Pizzolatto Law Office

Re: false pretense

This situation is too complicated for this site. Basically, it is operating as an unlicensed daycare, and therefore it is operating as one. Your buy sell agreement should have had all the conditions of the sale. Their word certainly gives you the right to cancel the contact since they "said it was licensed" and that was a condition. But go see an attorney and take your paperwork.

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Answered on 12/18/07, 8:19 am

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