Question:

Ken:

We have been using your standard contracts for quite some time now and feel that they are extremely beneficial.  My question concerns the ever-looming FCC AMPS Sunset next month:  we have some analog cellular backup transmitters still installed and in replacing them I was wondering whether we need to get a new sales contract signed when we replace them (if the Subscriber already has a service contract with us, covering just labor for service calls) or a supplemental agreement signed when the entire system is leased (whereby the analog cellular transmitter replacement is beyond normal “wear and tear”).  Are the provisions in either the service contract (covering only labor for service calls, not parts) or the lease agreement sufficient to cover the replacement of the analog transmitters, with a charge to the Subscriber, without having to get a new sales contract or supplemental lease agreement signed?

Joe C.

P.S.

 Regarding the question over CCTV work in NJ, we believe that the Burglar Alarm License is necessary to do any electronic security-related work, including CCTV and Access Control.  In addition to an individual license-holder, companies that engage in alarm work must now register with the State of New Jersey, via the same agency that regulates the alarm licenses, in order to obtain a Business License.

        ***********************

ANSWER:

    If you are under a service contract that calls for only service and not material then you do need a sales contract.  If your service contract covers labor and material then you won't need a sales contract.  If you are under a lease then the lease will cover replacement of equipment and you won't need a sales contract.  The above applies to my standard contracts and not other agreements that I haven't seen.

    Generally it's a good idea to get a sales contract signed when selling and installing new equipment.  It's also a good time to update the monitoring and service contracts with updated contracts.

    Your question raises an important issue, which is be careful that the services you are providing are covered by your contracts.  That is the only way you will be protected by the defense provisions in the contracts.

    Get your updated contracts at www.alarmcontracts.com.

    Thanks for your input on the NJ license issue.

    I want to alert companies licensed in New Jersey that your license requires that you have an office in NJ or that you designate by power of attorney an agent to receive service of process.  If you aren't in compliance you will have a problem renewing or getting the NJ license.