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 ****************************** Get notice of cancellation to protect hold back September 17, 2025 ******************* Get notice of cancellation to protect hold back from article on August 29, 2025 ****************** Ken Have the right experienced attorney to guide you on your selling journey. Right Ken?? Try to inculcate in the agreement a clause where the buyer must notify you within 1 week of any cancellation and you have the right to resign or replace with the new owner. If you are not notified then the lost account will not be charged against you. Jim Wooster Sr 415-509-4750 ******************** Response ******************** You need to be careful when negotiating the guarantee language, including the hold back. The hold back is the collateral for the guarantee of accounts lost by attrition. It could be for more if not careful. Not all buyers or attorneys are fair minded; they either don't understand what they are demanding, don't care or are pressing an advantage they have in negotiations. It's hard to deal with people like that, and I prefer not to. As seller you shouldn't be in the position of having to accept unfair demands, and buyers shouldn't be asking for unreasonable demands. Sure, a buyer offers a stupid number for your accounts, [even you recognize it's an obscene amount] so you give on a lot of wording demands as long as you don't compromise the crazy purchase price. There's not much agreeing to a price only to find out that the buyer can end up paying less than half that amount when it's said and done. The guarantee should have conditions, and one of them should be that seller gets prompt notice of a cancellation. That way a seller can investigate to make sure the customer canceled for a reason that does not void the guarantee. But that assumes there are conditions. I've had attorneys demand the guarantee with no conditions; a simple arithmetic calculation at the end of a year, unless they demanded more than a year. Dealing with a fair minded buyer is half the battle. Having your own experienced attorney for the sale is another essential component. K&K has the experience when you're ready, whether selling or buying. ******************** 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
