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MORE ON ELECTRONIC 3 DAY NOTICE OF CANCELLATION
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    In the April 28 2016 article I speculated how courts might accept electronic 3 day notice of cancellation.  I suggested - 

    "If the Company is not going to provide paper copies of the contract and cancellation notice, then the Company should make available electronic copies of the fully executed contract and cancellation notice so that the subscriber can access them at any time.   There should be an acknowledgment from the subscriber of receiving the cancellation form "electronically" and there should be a way for the subscriber to cancel the contract on the electronic format within the 3 days."
    What I didn't know is that California has addressed this issue.  Not sure California made it any clearer though.  Here is what California law, effective January 2016, provides:

(b) Notwithstanding Section 1689.6 of the Civil Code, for contracts for services or other activities authorized by Section 7599.54, a notice of cancellation and copies of the contract or offer described in those provisions may be provided and transmitted electronically.
(c) Notwithstanding Section 1689.7 of the Civil Code, for contracts for services or other activities authorized by Section 7599.54, the signatures, disclosures, and documents described in those provisions may be provided and transmitted electronically.

    This new law is found in SECTION 1. Section 7599.54 of the Business and Professions Code.  I am not aware of any other states that have addressed the issue.  It will be interesting to see if the mechanics of complying with this new California law causes any confusion and lawsuits.  
    If any companies are "complying" with this new law, please let us know how you are doing it and how it's going.  By the way, California, like many states, have specific provisions that are required in the consumer contract.  Our Standard Form Agreements comply with these laws.  Stop taking chances with the most important asset in your business and update, and upgrade, your contracts at www.alarmcontracts.com.  Call our Contract Administrator Eileen Wagda for questions and assistance in ordering.  516 747 6700 x 312
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QUESTION ON ELECTRONIC CANCELLATION
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Ken
    Can you please offer clarity around your point that the customer should be able to cancel the contract on the electronic format?  We currently use docusign for e-contracts and don’t believe there is a way for the customer to log in anywhere to then submit the cancel form or cancel the contract electronically.  Once signed, the customer is automatically emailed a copy of the signed documents.  Are we covered if they (i) email our office; or (ii) mail in the form?
anon
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RESPONSE
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    At least in California I think your procedure complies.  It also seems like a reasonable procedure elsewhere.
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ANOTHER CANCELLATION ISSUE
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Ken
    Another wrinkle…if the consumer orders and pays for the equipment online, and then schedules a professional install from our tech’s, is the 3 day notice required?  The tech will be having them sign your/our agreement when they do the actual installation, but the system and our service will have been sold and paid for (without a sales person present) more than 3 days before the actual installation. 
Thanks, 
Dave
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RESPONSE
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    Tricky issue.  What happens if they don't want to sign a contract when your tech arrives at the house for the installation?  You say the system will have been "sold and paid for" on line, more than 3 days before installation.  But I think the real question is, will you install the system if the contract is not signed?  Will you refund the money and take the equipment back if the contract is not signed?  I am going to guess that you will cancel the transaction if the contract is not signed, and that should give you a good idea of what I think the right answer is.  If the transaction is completed with the execution of the contract at the residence then I think you need the cancellation notice delivered at that time.  You can try sending the cancellation notice electronically and having the subscriber acknowledge it or waive it, but whether a court will accept that procedure is pure speculation at this point,