December 2, 2011
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Question
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Ken,
We have a unique mobile PERS product and GPS device for seniors. In the PERS contract there are provisions for cancellation in the case of death or long term committal to a nursing home.
The problem is, what if a care facility purchases a GPS-PERS device from us with the intent of utilizing it for patients who may wander off site?
I am in negotiations with an assisted living community that believes if the patient dies or goes back home, they should be allowed to cancel the contract for the device and service pertaining to same individual. I believe the devices should be separate from the individuals they are assigned to and not tied to the well being of that particular patient. Then the facility can change the assigned patient using the device at will.
I believe those cancellation provisions should only apply to individuals directly engaging in a contract with us who are in their own home or rather not in a long term care facility. D you provide a different type of PERS contract for facilities and institutions who want to purchase and activate our devices?
I am curious as to how that type of contract looks as opposed to the PERS contract for individuals-
RJN
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Answer
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The cancellation provisions in the PERS contract are required by statute in some jurisdictions and because they make sense we incorporate them into our Standard PERS Form Contract. The contract does however contemplate execution between alarm company and subscriber, the end user. I agree that when contracting with a facility that cares for the end users the contract form will need some modification, but that modification can be done on the standard form. I don't believe we need yet another contract for a facility providing PERS service to its seniors.
Whether a PERS unit, and contract, should be terminated once the end user no longer requires the service, or transferred to another end user, is a matter of negotiation, the outcome of which can be provided for in the contract. If the information for each end user is unique, as opposed to simply alerting the facility that whoever is wearing the pendant has wondered into out of bounds area, the units would not be transferable among users without change in data for the specific end user. Perhaps this entitles the alarm company to a programming charge.
Or, the facility may be required to pay for a minimum number of PERS units for a set term, permitting end users to be changed. The facility may also negotiate that end users each get a unit and the facility pays for that unit only so long as the end user needs it. Obviously each scenario is a matter of negotiation.
You can use the Standard PERS contract; just add a rider with the appropriate changes. We are always available to assist you with contract modification.