December 7, 2010

 

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Question:

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Hi Ken,

    The first thing I do every morning is read your e-mail, best ongoing daily education I have found in the industry!

    In reply to the disconnect from the Oct 7th, 2010 e-mail;

    Could we require a set fee (say our service call plus a disconnect fee) in our contract to disconnect service at termination? There are many occasions when we would have to go back to do this, and as mentioned in several peoples e-mails, this can be a challenge at times. What are the pros and cons of this idea?

Larry Heuvelman, CGR, CR, ROI

President

OneHomeCinema

Antioch, IL

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Answer:

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    Unless you include provisions that are unconscionable, which means a sane person of normal intelligence would never agree to it, you can include almost anything in your contracts, commercial contracts at any rate.  Consumer contracts have loads of things that you can't include because of a myriad of consumer statutes designed to protect the consumer, usually defined as the "least sophisticated consumer". 

    Yes a disconnect charge at the end of a contract would be permissible.  Whether performed remotely or by a visit to the premises where the system is installed, you could require a reasonable charge.  Collecting it is another matter. 

    The charge shouldn't be buried in small print in a contract.

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Comment on when work starts and is completed

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Ken,

    You may find this article of interest. In New Jersey, from the NJ

Construction Code Communicator, Winter 2008

 

Final Payment – Contractual Matter

    In response to a multitude of calls regarding the reference to N.J.A.C.

13:45A-16.2(a)10.ii on the back of Uniform Construction Code (UCC) Form

F180, Construction Permit Notice, the following is the actual wording of the

regulation from the New Jersey Department of Law and Public Safety, Division

of Consumer Affairs:

    "Where midpoint or final inspections are required under State laws or local

ordinances, copies of inspection certificates shall be furnished to the

buyer by the seller when construction is completed and before final payment

is due, or the signing of a completion slip is requested of the buyer. Final

payment is a contractual matter. The notice simply advises the owner that

final payment is not required until the job has passed final inspection."

http://www.state.nj.us/dca/codes/ccc_art/articles/ccc_w08.pdf

Hope this helps,

John Drucker, CET

Fire Protection Subcode Official

Fire/Building/Electrical Inspector

Fire Marshal's Office

Borough of Red Bank, NJ