Just puchased 1500 tv from circuit city with 5 year warranty who will honor warranty if they go under in bankruptcy should you take the tv back get your money back?

If Circuit City goes under, chances are the courts will order a third party to handle the warranties, as one possibility. They could order refunds on the unused portion of your extended warranty, or some other arrangement. If you hear about Circuit City going bankrupt, I'd not hesitate writing the court handling the bankruptcy proceedings and bring the issue up with them. Most likely, Circuit City will go for a reorganization and close a few stores around the country in an effort to stay solvent.