Dec 24 2011
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Question
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Ken,
First off I would like to thank you for all your valuable advice.
I have a question regarding canceling a monitored account for non-payment. Generally, we send a letter to the client informing them that the account will be canceled in 10 days due to non-payment and to contact us immediately to settle the overdue balance. Our next step is to bill the client through the end of their contract term. My question is that if we cancel the monitoring of an account for non-payment, can we still bill through the end of the contract term and for the leased equipment? Of course, if the balance is not settled then we would proceed with court.
I would like to remain anonymous.
Thank you
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Answer
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If you are using one of the Standard Form Contracts then you can cancel service for non payment, opt to sell leased equipment to the subscriber for the \"agreed\" value, and proceed to sue for 80% liquidated damages. If you don\'t have one of the Standard Form Contract then you need to read your contract carefully for your legal rights when a subscriber defaults.
When you terminate service, especially monitoring, you should give a definite termination date and time. It should be unequivocal. In other words, it should not give the subscriber the right to call and reinstate or do anything to continue service. If you do get any communication from the subscriber and you decide to reinstate then you will need to send another communication confirming reinstatement.