see below for The Alarm Exchange
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Question re automatic renewal
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Ken,
We are using your agreements for our customers. In these agreements, there is the Term of the agreement with the Auto Renew as follows:
TERM OF AGREEMENT: RENEWAL INCREASE: The term of this agreement shall be for a period of five years and shall automatically renew month to month thereafter under the same terms and conditions, unless either party gives written notice to the other by certified mail, return receipt requested, of their intention not to renew the contract at least 30 days prior to the expiration of any term. MAS shall be permitted, from time to time to increase the monitoring charge by an amount not to exceed nine percent each year and Subscriber agrees to pay such increase as invoiced.
We have been told by several people within the industry that the Auto Renew portion is illegal in the State of NY. Can you please clarify this for us.
Regards,
Lisa A. Schmid, Operations Manager
Marshall Alarm Systems, Inc.
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Question
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Ken,
I purchased an alarm contract and was curious about the automatic renewal term for the state of Kentucky.
I know Tennessee can only renew for one year. What are the limits in Kentucky. The contract that you sent me was set for 10 years then month to month.
Thanks for your time,
Frank Hanson
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Answer
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Automatic renewal clauses are a favorite topic among alarm companies. The industry relies upon long term contracts and that of course lends itself to automatic renewing of contract terms. The issue in reality is only significant in a handful of states. I am aware of only 12 states that have laws dealing with automatic renewal. You can check for your state here https://www.kirschenbaumesq.com/page/alarm-law-issues.
If anyone knows of a state I left out let me know.
Every state that does have an automatic renewal law permits month to month renewal. Auto renewal is important because neither the alarm company nor the subscribers wants the protection of the alarm system to terminate abruptly just because the contract term expired. Auto renewal on a monthly basis permits the continuation of the services until termination is elected by one of the parties, alarm company or subscriber.
To answer the questions above, New York does permit auto renewal, but a condition precedent to the enforcement of the renewal term is a required notice of renewal. However, month to month renewal is excepted from the notice provision. Tennessee permits one year renewal and Kentucky has no auto renewal statute.
Even if you are in a state without an auto renewal statute presently you should consider that your state may enact a law and judges are not going to enforce an unconscionable automatic renewal provision that makes no sense because it extends the contract beyond reason.
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comment on what's fair commission package / employee v independent contractor [from Oct 3 2012 article]
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Ken,
You had a very accurate comment to Anon who was asking about paying sales people who sold service contracts as "contractors." The IRS and state taxing agencies are bing very aggressive regarding employers who classify their employees as "contractors." In many states, any person who sells or installs work contemplated by the State Alarm Act (selling service contracts would fall under this) must be licensed. This means either an Alarm Company Manager License or an emloyee pocket card. Since it is doubtful that the salesperson will have an Alarm Company Manager Lincense (and the Company License that comes along with it) they would be required to carry a pocket card. The pocket card would be tied to the Alarm Company and state "Alarm Company Emloyee." It is going to be hard to explain to the IRS (and to the State Unemployment, Workman's Comp, and other agencies) that this person with a card in their pocket that states that he/she is your employee, could be your "contractor."
As I detailed in this column last year, the IRS announced an amnesty program allowing employers to voluntarily reclassify "contractors" as employees. They warned that employers that did not take advantage of this very generous offer would be targeted and that is happening now. One of the approaches that we are seeing is for the IRS and State Taxing authorities to look at the 1099's that companies issue and to contact the recipients. They interview the recipients first and determine that they were actually employees. The recipients have an incentive to talk because if they were in fact employees, they may be able to get a refund of half of their self emloyment tax (or some relief if the "forgot" to pay it). The IRS then pays a visit to the Employer with a stack of affadavits and other documents and a large bill for taxes, penalties, and interest.
I am just the messenger here, payroll taxes and employee issues are a major focus for the IRS now. Consult with your tax advisor before misclassifying an employee.
Mitch Reitman
S.I.C. Consulting, Inc.
www.sicc.us
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TO SUBMIT QUESTIONS OR COMMENTS REPLY TO THIS EMAIL OR EMAIL Ken@Kirschenbaumesq.com. Most comments and questions get circulated.
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Speaking engagements:
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Electronic Security Association of Virginia, Annual Conference.and Trade Show. October 16, 2012 at Virginia Beach Resort Hotel and Conference Center. For more information contact Lynn Comer at lynn.comer@shenvalleysec.com; (800) 538-2322
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Want to schedule me, Jennifer or Dennis Stern for a speaking engagement? Alarm associations can book my presentation by calling Eileen in my office at 516 747 6700 x 312.
The Alarm Exchange
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This area is reserved for alarm company announcements, solicitations, offers, etc. Those wishing to sell or buy; borrow or lend; dealer program or dealer; central stations; insurance brokers; business brokers, insurance companies. Equipment to sell; looking for employees; subcontractors; mergers;
There is no charge to post a listing here. The listing is subject to review and approval and will be posted for approximately 10 days unless renewed. Include your contact information, phone, email and web site. Posting by category will depend on response to this forum. Send your post to Ken@KirschenbaumEsq.com.
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Help Wanted:
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Key West FL Alarm Company seeking experienced alarm technician. Send resume with references and salary requirements to scotts@barnesalarmsystems.com. No phone calls please.
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NYC alarm company looking for experienced alarm techs.and operators Call Dana 212 206 0900 or email to unitednyjobs@aol.com
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NYC central station looking for experienced general manager. Contact Ken Kirschenbaum at 516 747 6700 ext 301. All inquiries will be keep confidential.
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Long Island Central Station Alarm Company looking for experienced alarm technicians and central station operators. Excellent salary and benefits. E-Mail hr@lowittalarms.com or call 516-433-6960 ext. 215.
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Oakland, CA company looking for experienced electronic technician – alarms, CCTV, access control, intercoms, etc. Send resume and references to HR@reedbrothers.com or call Nancy at 800-400-5625 x158
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Bay Area, CA well established ADT Dealer is seeking a Technician Manager. Send email or resume to joshc@gaylordsecurity.com
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Long Island, NY based fire and security technology manufacturer is looking for:
1. experienced installation technicians who are interested in exploring a technical support role.
2. a Fire Product Marketing Manager to join their team in the company HQ in Amityville, NY
3. a Software Quality Assurance Tester
Send a current resume and salary requirements in confidence to rbaker@napcosecurity.com
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Indianapolis, IN - Hoosier Security call 317-644-0570 or send resume to: armando@hoosiersecurity.com Actively seeking installation contractors and sales personnel experienced in alarm and digital CCTV.
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Eastpointe Michigan alarm company has an opening for an experienced alarm tech/installer, great salary, benefits, truck, medical. Call Hank Luks 586-772-6100 or email to www.controllor@aol.com
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San Antonio Texas based company is looking for experienced residential, commercial and fire alarm salesmen as well as experienced alarm installers. Submit resume via e-mail to Gmunford@saalarms.com Glenn Munford, President. Phone 210 342-3100 www.sanantoniosecurityalarms.com
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Washington DC area Home Automation company seeking experienced alarm technicians. Send resume with references and salary requirements to jobs@american-automation.com
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Western Suffolk alarm company looking for exp'd office help- exp in Microsoft office, downloading of alarm panel, inventory, collections, sales and general office help. Send resume to Jeanne@checkmatesecurity.com
631 669-3303 www.Checkmate Security
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Northern New Jersey Fire Protection Company is looking for an experienced Fire Alarm Technician, with at least 3 years’ experience. Send resume to laura@cityfire.com
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NJ Alarm Company (Bergen County), seeking a Central Station Operator for the 5pm – 12:00pm shift. Email resume and salary requirements to service@merchantsalarm.com . No phone calls please.
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California and Texas alarm company seeking Central Station Manager, Customer Service Manager, Operations Manager, Sprinkler Operations Manager, Service Manager, Project Manager, Service Technicians, Lenel Certified Technicians, Installers, Fire Testers, Reg 4 Fire Testers, Service Dispatchers, Central Station Dispatchers, and Sales Representatives in locations throughout California and Texas. email resume to bwatkins@ssdsystems.com
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Merger and Acquisitions
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NY - looking to purchase fire alarm subscriber accounts in New York metropolitan area. call Bob WIlliams at Briscoe Protective Systems Inc at 888 274 7263 ext 211 or email bobw@briscoeprotective.com All calls strictly confidential
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Southeast Arkansas. Security Integration co very lucrative agricultural vertical market, but having difficulty attracting and retaining installers to keep up with our workload. Primarily commercial/industrial integration but with approx. 240 monitored alarm accounts. Largely residential, upscale accounts with approx. 20% commercial accounts. Will consider either selling alarm accounts to focus on surveillance/access control or will consider selling all and work as regional sales manager for purchaser. Market has loads of potential. For confidentiality reasons, please contact me at my "other" email address hogshogshogs@att.net.
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Central Stations
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Nationwide Digital Monitoring - monitoring all of America UL Listed; NYC FD approved
800 221 0826 www.NationwideDigital.com Contact Alan Ankeles aankeles@NationwideDigital.com
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U.S.A. Central Station Alarm Corp - monitoring throughout the United States Bart Didden 877-872-1266
bdidden@usacentralstation.com www.usacentralstation.com
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United Certified Central Station Inc - monitoring the New York City metropolitan area. NYC Fire Dept approved and UL Listed. Dana Goffer 212 206 0900 x 301 http://www.weprotect.com/Monitoring%20station.html
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Counterforce Central Alarm Services Corp UL Listed NYC FD approved contact Phil Blair 718 575 3333 Phil@counterforcecentral.com http://counterforcecentral.com/services/index.htm
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Metrodial Central Station - FDNY Approved and UL Listed. Contact Andy Lowitt at 866-900-METRO or andy@metrodial.com www.metrodial.com
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COPS Monitoring: Nationwide Burglary, Fire, PERS, Video, & Critical Environmental monitoring from 5 central stations copsmonitoring.com http://copsmonitoring.com/lp/kk.html or call Betty at 800-367-2677 x 1256
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All American Monitoring – throughout USA. UL, Five Diamond, licensed LisaF@AllAmericanMonitoring.com or call 800 318 9486 x 212 www.AllAmericanMonitoring.com
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RESPONSE CENTER USA – Monitoring burglar and fire alarms. PERS (Medical Alarms) Specialists UL Listed.
contact JD Benfer 866-489-4105 jdbenfer@rc-usa.com www.rc-usa.com
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United Central Control, Inc. - UL Listed, 5 Diamond Certified, serving the entire USA - contact Kathryn Schultz - 866-907-4712 or kschultz@teamucc.com http://www.teamucc.com/
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AvantGuard Monitoring Centers : UL 2050 Listed, 5 Diamond, Fully Redundant Central Stations Specialize in PERS monitoring. Contact Troy Iverson 877-206-9141 www.agmonitoring.com
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Electronix Systems Central Station Alarms Inc., UL Listed, FDNY Approved
and Five Diamond Rated. Contact Jacqueline Jones
jackiej@electronixsystems.com (631) 271-4000 www.electronixsystems.com
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SentryNet monitoring nationwide, Canada and Mexico - UL and 2050 listed; FM Certified. Contact Kurt Erdman kerdman@sentrynet.com 800-932-3304 www.sentrynet.com
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Grand Central Station – monitoring of burglary, fire and video verification services throughout the United States. UL Listed Benny M. Martinez 800-230-1654x136 bmartinez@gcsmonitoring.com www.gcsmonitoring.com
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Business Brokers / Consultants
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Ron Davis Davis Mergers and Acquisitions Group Inc rdavis@graybeardsrus.com Office 847 955 2345
Cell: 847 910 7716 www.graybeardsrus.com
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Mitch Reitman S.I.C. Consulting, Inc. Tax and Financial services 817-698-9999 MReitman@sicc.us www.sicc.us
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Rory Russell Acquisition & Funding Services www.afssmartfunding.com (800) 354-3863 Cell 518-366-5111
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Barry Epstein - Vertex Capital - representing Buyers and Sellers in Life Safety Industry. bepstein4@sbcglobal.net cell:972-740-2740
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Insurance brokers / insurance companies for alarm industry
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Alice Cornett Giacalone, Senior Vice President - selling alarm E&O throughout the United States
Central Insurance Agency, (800) 917-2542 aliceg@ciainsures.com www.ciainsures.com
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Ralph A.Costa - specializes in alarm insurance in New Jersey and other states 973 835 8444
ralph@burglaralarminsurance.com http://www.burglaralarminsurance.com/category.aspx?id=MISC1
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Security America Risk Retention Group Alarm industry owned and sponsored E&O insurance – Call SARRG at 1-866-315-3838, or info@securityamericarrg.com. www.securityamericarrg.com
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Premier Alarm Insurance, Kristin Sikorski, Isle of Palms SC 29451 1-800-792-1728
info@premieralarminsurance.com www.premieralarminsurance.com
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Rick Gombar Insurance Services, Inc. CA. Rick Gombar, President 800-446-6227
Rick@gombarinsurance.com www.gombarinsurance.com
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Eclipse Marketing & Insurance Services. Larry St John, CIC, Pres. 800-530-4448, LStJohn@eclipseinsurance.com - ins for alarm industry www.eclipseinsurance.com
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Financial Services
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Alarm Financial Services - funding for alarm dealers throughout the United States.
www.alarmfunding.com or call Jim Wooster 866-204-9350x12
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RMRFunding - Alarm account funding. www.rmrfunding.com Contact David Tropper (855) 767-1900 dtropper@rmrfunding.com
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Educational and Training Programs
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New York State alarm license Approved 81-HOUR License Course www.mbfaa.com
contact Alan Glasser (718) 894-6712 mbfaa.ny@gmail.com
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NYS 81 hour approved training - contact NYBFAA 814-838-3093 Info@NYBFA.org) www.NYBFA.org
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New Jersey Fire Alarm, Burglar Alarm & Locksmith training. Exam Prep Training Series, Practice Exam and approved CEU courses. see www.NJCEUcenter.com or call Bob Shoremount 908-637-8557
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Attrition Busters Presentations-Seminars-Workshops-Consulting www.attritionbusters.com
contact Bob Harris(818) 730-4690 bobh@attritionbusters.com
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Response Center USA Seminar on Video Verification – Learn how any alarm company can easily use video to have a Verified Alarm Dispatch to the PD. Wednesday October 10, 2012 10 am to 4 pm. at DoubleTree Hotel (by Hilton), 37 N.E. Loop 410 (by the Airport), San Antonio, Texas 78216. Free lunch buffet
FREE (seating limited and you must RSVP) to JD Benfer 866-489-4105 jdbenfer@rc-usa.com
Event organized by: Response Center USA monitoring station– We do more than just dispatch!
Presenters: President of Videofied -- Tyco Head of Visonic – CEO of CheckVideo -- NICB - Pres of Response Center USA Special Guests: National Insurance Crime Bureau and Law Enforcement – working to teach Law Enforcement about video verification
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Florida Alarm School. FASA and BASA classes. Mike Fletcher mfletcher@heeth.com 813 621 2333 www.floridaalarmschool.org. Upcoming classes Oct 24 - Pensacola - Renewal; Oct 25/26 - Pensacola - New Agent; Oct 29/30 - Tampa - New Agent; Nov 2 - Gainesville - Renewal; Nov 7 - Miami - Renewal; Nov 8/9 - Miami - New Agent
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Marketing for the Alarm - Security Industry
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Bob Maunsell - Security Marketing Guru - www.SecurityMarketingGuru.com 508-835-1123 support@securitymarketingguru.com
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Security Dealer Marketing - full-service marketing agency for security businesses David Morgan
888-572-4450 x100 dmorgan@securitydealermarketing.com www.securitydealermarketing.com
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Technical Support
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Fire Alarm System Engineering
Fire Alarm Design Services. Complete code consulting, basis for design reports, AutoCAD, submittal documents. PE and NICET IV on staff. NY, NJ, PA areas. Contact Joseph Hayes, SET 914-645-1289 or HayesCPP@optonline.net
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Systems Support Specialists - Technical consultants for Central Station Services & Installation Services, Custom Programming, End User Solutions, Product Evaluations, and Technical training - Contact Mark Fischer - mfischer@systemssupportspecialists.com or (631) 850-0084 www.systemssupportspecialists.com
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Miscellaneous
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Printers MonitoringContracts.com. Authorized printers for the Kirschenbaum Contracts TM. 866 322 4906 sales@MonitoringContracts.com www.monitoringcontracts.com
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alarm contracts - get them at www.alarmcontracts.com
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alarm company valuation - go to www.WhatsMyAlarmCompanyWorth.com
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Legal service for acquisition or sale of accounts. Contact Ken Kirschenbaum, Esq at 516 747 6700 ext 301, Jennifer Kirschenbaum,Esq at 516 747 6700 ext 302 or Dennis Stern, Esq at 516 747 6700 ext 323
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Many of you are forwarding these emails to friends or asking that others be added to the list.
Please tell your friends and employees to go to the Home Page on my web site and sign up for the emails. Thanks.
You can read articles and order alarm contracts on my 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
email: ken@kirschenbaumesq.com
phone: 516 747 6700
web: http://www.kirschenbaumesq.com