KEN KIRSCHENBAUM, ESQ ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE You can read all of our articles on our website. Having trouble getting our emails? Change your spam controls and white list ken@kirschenbaumesq.com ******************************* more on AHJ wants additional equipment / Cancellation notice with electronic contracts August 2, 2019 ***************** more on AHJ wants additional equipment from article on July 27, 2019 ********************** Ken We always add at the bottom of our proposals on our list of equipment "This proposal is subject to change by the requirements of the AHJ" John U *********************** Response *********************** This might be overly critical but I think your provision could be a problem. First let’s discuss the use of a “proposal”. Most alarm companies use one form of proposal. It can be in letter form or a printed form. You have to be very careful with proposals because it has to be crystal clear that the proposal is not your contract. No proposal has the terms found in the Standard Form Agreements, unless it’s not really a proposal and it’s intended as the final agreement. Every proposal should contain a provision that states that the proposal is subject to execution of a final agreement. Requiring a subscriber to sign a proposal is one indication that you intend to bind the subscriber to the transaction. A subscriber may decide that the proposal is the contract and then refuse to sign the formal agreement. Your proposal is not your final agreement, so it is subject to change at any time before the Agreement is signed. What happens then if the AHJ wants something different, something more? Who is going to eat the cost? The above provision does not specify who is going to pay for changes and additions. You may think it’s clearly written, but it’s not. The All in One Agreements clearly provide that the subscriber is responsible for any changes required by the AHJ. Short, simple and effective. If you don’t have the All in One forms, get them and stop taking chances. ********************* Cancellation notice with electronic contracts ********************* Ken I noticed that The Cancellation Form is recommended in triplicate so that the subscriber ends up with two copies, one to send to the alarm company. What would be the proper procedure if we plan on doing everything digitally with docusign? Thanks. Tony *********************** Response *********************** With truly electronic contracts and execution of the contracts you aren’t leaving any papers with the subscriber. It’s all on line. Before the subscriber gets to sign the Agreement the subscriber is required to sign a Disclosure and Consent to Electronic Communication form. That permits delivery of all required papers electronically. Docusign has a form for this though we are still recommending our Disclosure and Consent to Electronic Communication as being alarm industry specific and of course when the company providing the electronic platform doesn’t have the consent form. ******************* To order up to date Standard Form Alarm / Security / Fire and related forms, click here:www.alarmcontracts.com ************************* CONCIERGE LAWYER SERVICE FOR THE ALARM INDUSTRY PROGRAM You can check out the program and sign up here: https://www.kirschenbaumesq.com/page/concierge or contact our Program Coordinator Stacy Spector, Esq at 516 747 6700 x 304. *********************** NOTICE: You can always read our Articles on our website at ww.kirschenbaumesq.com/page/alarm-articles *********************** THE ALARM EXCHANGE
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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
