Consumer Law, Warranties Defective granite: who pays for replacement?

[BarbOurYear]

We are a small custom cabinet shop. Our written contract included the cost of the granite counter top and the installation cost, which was about $6-$7 thousand. We were paid for the granite and in turn paid the manufacturer who then paid the granite yard. We accompanied the client to a granite yard that we've used many times, and the client selected the actual piece of granite. A granite manufacturer (that we've also used many times) then makes the purchase, picks up the piece, cuts to specifications, and installs.

One year later the granite has begun to flake and our client wants the entire counter top replaced. We had the installer and a rep from the granite yard go look at the problem. The yard says the client must have used some harsh chemical to cause the flaking. Of course, the client says she didn't, and we believe her. The client had a separate granite yard go look at the problem. That person said the granite was no good to begin with and that they never would have used such a piece.

The client says she will now sue us, since the cost of the granite was included in our contract. With this economy, we've barely got our noses above water. Is there any way out of this other than for us to turn around and sue the granite yard? Could she not sue the granite yard directly?

Thank you very much. We're inexperienced at such problems, but this sure has taught us a lesson.

 

[dee_dub]

The problem with her suing the yard directly is there is no direct contractual relationship between her and the yard. The only party that owes her a contractual duty is you; you are owed a contractual duty by the manufacturer; and the manufacturer is owed a contractual duty by the yard.

Procedurally, you should just add the granite yard as a party to your lawsuit, and you should probably add the manufacturer too. The trial judge will decide how liability should be apportioned between you, and if it's all the yard's fault, they will bear the cost.