KEN KIRSCHENBAUM, ESQ
ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE
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does alarm co need to sign contract / can customer cancel if moving
July 3, 2018
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does alarm co need to sign contract 
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Ken,
    Is there a specific statement in the All-in-One contracts that state something to the effect of the contract must be signed by the General Manager of the security company?
Megan I
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Response
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The Standard Form Agreements do not have any provision that states that the contract is not enforceable unless signed by an officer of the alarm company. That kind of provision causes all kinds of delay and trouble when the alarm company fails to get an officer to sign the agreement and provide a fully executed copy of the contract to the subscriber.
    We see lots of contracts because our clients send them to us to start collection proceedings and, less often, to defend claims. We also see them when there is a buy-sell transaction. It's shocking how often we see contracts that are not signed by the alarm company, just the subscriber. [too often there isn't a proper signature for the subscriber - but that's another topic]. 
    If the contract calls for the signature of an officer of the alarm company the subscriber can probably cancel the contract any time before the alarm company either presents a fully executed contract, or performs under the agreement. The latter criteria is sometimes contentious and not as easy to establish, so the better practice is to sign the contract.
    Some companies don't trust their sales help and thus insist that an officer at the home office review, approve and then sign the contract. It's understandable when the contract is for a sizable job.     Nevertheless, I don't have that provision in the Standard Form Agreements [it can be added with one sentence] because I am more concerned that the alarm company won't follow through and sign the agreement than the home office won't approve the job. If the company decides it doesn't want the job there are probably a bunch of ways it can get out of performance. 
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can customer cancel if moving
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Ken
    We are a client of yours and have a question. We are in Tennessee and have a residential customer who is moving. The customer claims there is a law in TN that permits the customer to cancel the contract, without paying the balance as required by the contract and without penalty, because he is moving. Is there such a law?
Peggy H
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Response
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    Best I can say is that I have not heard of such law. That doesn't mean there isn't one. I did some fast research and couldn't find any such law. You should ask the subscriber to send you the law or refer you to the specific law.
    Then you should send the contract to my office for collection, because I don't think you will find the law.
    I am not aware of any law in any state that would permit cancellation because of moving. That is something that a subscriber could be asked be added in the contract. By the way, the PERS contracts are a bit different and there are permitted cancellation provisions for illness, death and moving to a nursing facility.
    If you decide to pursue collection, contact our head paralegal Kathleen Lampert in my office and she will get you started. Her number and email are 516 747 6700 x 319 and KLampert@Kirschenbaumesq.com
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Note: I just want to remind you that you are getting two duplicate emails from me daily because I am trying out two bulk email service companies. I may end up with only one of them but that's not decided yet so please do not unsubscribe from one. That may be the one I end up staying with. So far the two companies seem to reach different addresses. Feel free to delete one email. If you want to unsubscribe you should do it from both emails. You can always read our emails on our website at https://www.kirschenbaumesq.com/page/alarm-articles 
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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
516 747 6700
www.KirschenbaumEsq.com