3 Day Notice of Cancellation / Contract Part of Proposal / Does Alarm Company Have to Sign Contract - May 3, 2013

3 Day Notice of Cancellation /  Contract Part of Proposal /

Does Alarm Company  Have to Sign Contract  

  May 3, 2013

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comment on 3 day notice of cancellation

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Ken

    With respect to the nuances of who is subject to the 3-day cancellation notice and who is not, we don't have any issues with that.  We have everyone initial it, regardless of whether they are commercial or residential.  We even have them initial it on takeovers where we clearly did not originally install the system.  It may be overkill on our part, but courts have been known to make some wacky interpretations and juries have been known to side with the end-user when there are vagaries, so we have everyone initial it and have never had anyone balk at it.  Most appreciate it.  It leaves them with the impression that we are "doing right" by them in giving them a 3-day "out".  And we have never had anyone exercise their 3-day right of rescission.

Lee Hearn

Allegiant Security, Inc

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Response

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    There is nothing wrong with giving every subscriber a 3 day cooling off period, bu the law only requires it be given to residential subscribers when the sale takes place at the home.  If you go to the home before the contract is executed by the subscriber its a good idea to provide the 3 day notice of cancellation, even if the contract is sent through the mail or executed somewhere other than the residence.  

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Question - contract part of proposal / does alarm co have to sign contract

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Hi Ken-

    We are interested in making our commercial contract basically a standard part of our commercial proposals, so the customer can just print it off, sign it, and email or mail it back. Is there any reason not to do this? Is there any reason we need to have a line on the contract of our sales rep (or other company representative) has to sign and date the contract as well as the customer, or can we just have a line for the customer to sign and date?

Thanks in advance!

Brian S.

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Answer

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    First, you can incorporate your contract into your proposal.  Just make sure you use all of the essential provisions.  Second, you can probably design a contract form that your company does not have to sign.  By sending it out you are deemed to have approved it.  This of course is not the best practice because subscribers may make changes, claim you agreed to other provisions or that your failure to sign negates the enforceability of the contract.  

    You can probably use something like this:  "By presenting this prepared contract Company agrees to all of the terms contained herein; subscriber is not authorized to make any changes to this form; upon subscriber's execution and delivery of this form to Company the Company and subscriber shall be bound to the terms of this contract."

    I don't recommend this practice.

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