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 whitelist ken@kirschenbaumesq.com ****************************** Property manager signing contract for HOA or Condo Assoc or Owner December 2, 2022 ************************* Property manager signing contract for HOA or Condo Assoc or Owner ************************ Ken, We do a lot of fire alarm work for property management companies, who authorize on behalf of the HOA or Condominium Association. Is a management company's execution on a K&K contract binding? If the association switches management companies does that in any way void or alter the contract terms? Scott ********************* Response ********************* Many alarm companies come in contact with interesting, powerful, influential and elusive customers. Often you don’t even meet with the customer. This is often the case when signing a contract for the residence of a high powered person, entertainer, politicians, CEO of large company and, even more common for alarm companies, when dealing with Property Managers; those that manage Coops, condos, apartment buildings, commercial buildings, shopping centers and plenty of other places. In the case of the famous and important person as well as the Property Manager, you are dealing with an “agent”, simple as that. It’s not complicated; don’t make it complicated. The law of agency is well known and most lawyers and judges understand it. Here are a few legal tidbits: * an agent acting with authority can bind the agent’s principal to the contract * an agent cannot establish its own agency; the agency must be authorized by the principal either expressly or implicitly * an agent acting within the agent’s authority is not personally liable on the contract, but the principal is * a principal terminating an agency relationship does not void or vitiate a contract previously properly entered into So a Property Manager enters into an alarm contract for a property owner. Owner replaces the Property Manager and the new one wants a new alarm company. You are protect; you contract signed by the ousted Property Manager is enforceable. Same goes for a famous person’s manager or assistance who signed a residential contract. As you know, no law firm than I have ever heard of starts more alarm collection cases than K&K, at least in this country. We have seen maybe not “it all” [like Farmers Insurance] but quite a bit. We’ve heard quite a bit and been met with all kinds of stories why a former condo assoc president, a movie star’s manager or assistance, a CFO signing for the CEO, the former manager of the Property Management Company, the clerk working the counter in the store, the person occupying the house, all had no authority to sign and bind the actual customer named in the contract so that the contract is still valid and enforceable. We’ve lost only a handful and only when our [not so smart, to quote Donald Trump] client really did let the wrong person sign the contract or named the wrong customer on the contract or otherwise messed up big time [another legal concept well known in the alarm industry, and others]. OK, just one final piece of advice to help deal with issues described above: join the K&K Concierge Program and talk to me and other lawyers at K&K on a regular, daily if you need to, basis. There’s no charge for our “quick” advice and the advice is [probably] better than you’ll get from whoever you like to complain to. Call our Concierge Program Coordinator Stacy Spector,Esq at 516 747 6700 x 304 or SSpector@Kirschenbaumesq.com. Call today; the sooner you do the sooner you can start getting proper advice when it comes to alarm industry legal issues, among other issues. ****************** To order up to date Standard Form Alarm / Security / Fire and related Agreements click here: www.alarmcontracts.com *************************** To order up to date Standard Form Alarm / Security / Fire and related Agreements click here: www.alarmcontracts.com *************************** CONCIERGE LAWYER SERVICE PROGRAM FOR THE ALARM INDUSTRY - 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. *********************** ALARM ARTICLES: You can always read our Articles on our website at ww.kirschenbaumesq.com/page/alarm-articles updated daily ******************** THE ALARM EXCHANGE - the alarm industries leading classified and business exchange - updated daily ************************* Wondering how much your alarm company is worth? Click here: https://www.kirschenbaumesq.com/page/what-is-my-alarm-company-worth ****************************** Getting on our Email List / Email Articles archived: Many of you are forwarding these emails to friends or asking that others be added to the list. Sign up for our daily newsletter here: Sign Up. You can read articles and order alarm contracts on our web site www.alarmcontracts.com ************************** 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
