KEN KIRSCHENBAUM, ESQ ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE You can read all of our articles on our website. Having trouble getting our emails? Change your spam controls and whitelist ken@kirschenbaumesq.com ****************************** Force Majeure Provisions April 29, 2025 ****************** Force Majeure Provisions ****************** Ken, We recently had tornados through our area which resulted in the loss of a customer's building. They were on a Kirschenbaum contract which was signed about a year ago when we upgraded their security. As the building is no longer there, what is the effect on the agreement and the proper way to handle this? They have moved to another location and we will be installing a new system with a new contract there. Thanks Garry ********************* Response ********************* A force majeure clause is a contract provision that exempts parties from liability or obligation due to unforeseen and uncontrollable events. These events, often called "force majeure events," include acts of God, war, or other circumstances that make it impossible to fulfill contractual obligations. A tornados would qualify as such event. However, the Kirschenbaum Contracts TMdo not contain a force majeure clause. Therefore my opinion is that a force majeure event would not relieve a subscriber of the contract payments. The Kirschenbaum Contracts TM actually didn't mention a force majeure event; now it does. The contracts were updated in response to this article so that the agreement is clear that the subscriber is responsible for the full term of the agreement. The insurance procurement provision has also been changed to require the insurance to be procured by the subscriber, naming the alarm dealer, to indemnify for loss of the contract benefits. I don't know that these changes were necessary, but they certainly make the contract intention clear on these points. Expect more challenges to the contracts and join the Concierge Program today and take advantage of the free half hour each month for contract review and negotiations. Enforcing the contract is one thing, but here we have the subscriber moving to a new location and, presumably, paying for a new alarm system and entering, again presumably, into a new term agreement. As a practical matter it makes better business sense to substitute the new agreement for the old; just don't do that until the new agreement is signed. ********************* STANDARD FORM AGREEMENTS: To order up to date Standard Form Alarm / Security / Fire and related Agreements click here: www.alarmcontracts.com *************************** CONCIERGE LAWYER SERVICE PROGRAM FOR THE ALARM INDUSTRY - You can check out the program and sign up here: https://www.kirschenbaumesq.com/page/concierge or contact our Program Coordinator Stacy Spector, Esq at 516 747 6700 x 304. *********************** WEBINARS: https://www.kirschenbaumesq.com/page/alarm-webinars *********************** ALARM ARTICLES: You can always read our Articles on our website at www.kirschenbaumesq.com/page/alarm-articles updated daily ******************** Wondering how much your alarm company is worth? Click here: https://www.kirschenbaumesq.com/page/what-is-my-alarm-company-worth *********************** THE ALARM EXCHANGE - the alarm industries leading classified and business exchange - updated daily ************************* PODCASTS: https://podcasts.apple.com/us/podcast/ken-kirschenbaum-presents/id1794851477 ************************* Getting on our email list / Articles archived: Many of you are forwarding these emails to friends or asking that others be added to the list. Sign up for our daily newsletter here: Sign Up. ************************** 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 www.KirschenbaumEsq.com
