KEN KIRSCHENBAUM, ESQ
ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE
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cancellation notice for on-line contract execution / ex-employee threatening  
April 18, 2019
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cancellation notice for on-line contract execution
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Ken,
          We recently purchased your Nationwide DIY contract. 
          Question:  Why would this agreement include the 3 day right to rescission? 
          If I am not mistaken this provision is typically directed at door-to-door sales as a cooling off period for the consumer to rethink a purchase as protection from a potential high pressure sales tactic.  Why would this be provided to a consumer that has sought out this product and purchased it online?
Scott in Florida
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Response
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          Good question.  We include the notice of cancellation form because we don't know how you intend to sell your systems and because a buyer of your accounts may very well expect to see that you have used the cancellation notice form.
          The 3 day notice of cancellation is only required for residential subscribers, unless the sale takes place at your office [which is never the case].  
          Typically on-line sales permit the subscriber to cancel, so the 3 day notice is not burdensome to use.  Also, a buyer of your accounts may expect to see that you've used the cancellaton notice.
          We provide it; I suggest you use it.  Especially because it's on-line exeuction it's easy to include the cancellation notice and give the right the cancel.  Be sure to also use the Disclosure and Consent to Electronic Communication, another form that we provide together with the Nationwide form agreement
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ex-employee threatening 
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Ken
          An employee has been terminated for his lack of performance. He is now threatening to solicit our customers for his own future sales and also stated he will be throwing away the company phone which is our property.  What should we do?
name withheld
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Response
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          How can I resist starting with, "I told you so"; "I warned you to have all employees, particularly this one, sign an Employment Agreement.  This horse is out of the barn.
The phone is gone.  You can sue him; good luck.  As far as soliciting your customers, I know you have been smart enough to have all of them sign our Standard Form Agreements, so soliciting the customers won't be as successful as the ex-employee thinks.  If you had the arbitration provision in our Employment Agreement we could get an injunction.  Now, not so easy and perhaps not likely, especially since the solicitations have not started.
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Ken Kirschenbaum,Esq
Kirschenbaum & Kirschenbaum PC
Attorneys at Law
200 Garden City Plaza
Garden City, NY 11530
516 747 6700 x 301
ken@kirschenbaumesq.com
www.KirschenbaumEsq.com