March 23, 2012
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Question re responsibility on take over alarms
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Hello Ken,
I am currently using your alarm contracts for new residential fire/burg system installations. A question I have is whether or not I need to add a disclaimer for when I take over existing fire/burg alarm systems.
I have been asked a few times recently by some of my customers and potential new customers to take over the monitoring of their existing alarm systems. Upon general inspection of their system I have seen that some items have not been installed properly according to industry standards/practices. For example EOL Resistors placed within the panel versus being installed at the end of the line, non fire wire being used for smoke detectors and or devices powered by the panel that has life safety devices installed and the list goes on.
Upon bringing these various concerns to my customers attention some are hesitant to pay for any changes and argue that the system was installed by ADT, Slomins or XYZ Company so it has to be OK. Another reply is that it has worked for years without a problem so why should I change it. All may be true but it does not mean that it is correct.
I am a one man company and take pride in the quality of my work and service I provide. With times still being a bit tough I do not want to loose the potential work I have coming but also do not want to open myself up to a can of worms.
All this being said what is the best approach for these types of customers. Walk away or provide a disclaimer stating what was found to be wrong and that the customer declined to correct them? What is my possible exposure upon doing so?
Thank you.
Respectfully,
Darren Faivre, President
Systems Integrator
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Answer
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I am not sure why, but this analogy comes to mind [probably because I recently closed a restaurant]. A restaurant hires a new chef and he starts and uses food prepared by the departing chef. Who do you think the unhappy customers are going to blame?
When you take over an alarm you're responsible. You need to document any deficiencies in the system. Think of it this way: if you were installing the system with the deficiencies known to you and the subscriber would you carefully document those deficiencies and lay responsibility on the subscriber? Yes, hopefully you would.
Your take over report should detail all problems and have the subscriber agree to pay you to fix them or acknowledge that you don't have to and the subscriber will assume the risk. Will that work all the time? Not necessarily.
Some jurisdictions may impose responsibility for alarm systems, particularly fire alarm systems, independent of your contract terms. If you are responsible for code compliance or procedure requirements then you need to comply with the AHJ and even a disclaimer or waiver by the subscriber may not help you avoid sanctions and penalties. So before you rely on a disclaimer make sure you know in what way the alarm is deficient. Does the deficiency compromise security, fire, life safety, extend beyond the immediate premises putting not only the subscriber but the public at risk, violate building codes, fire department regulations, police permit laws, UL guidelines, manufacturer's recommended installation guidelines? Answers to these issues will influence your exposure.
The Disclaimer Notice can be used on a take over with only slight modification. If you're not using the Disclaimer Notice then you are missing out not only on a document that can help protect you, but a document that might get you additional work from a subscriber who realizes that different and better protection is available.