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holding sub to term of contract/ wrong address on contract
February 11, 2019
holding sub to term of contract
          Another question on the Fire Alarm All in One contract. We have a fire alarm customer we designed, installed, monitor and test a system for. We modified the agreement from the original ten years to a five year agreement. We were paid for the install and also paid up to date for monitoring and testing fees. The customer is moving out of his building to another location and wants to terminate service with three years remaining on the contract. He does not need the system relocated. Do we request the remaining three years payment for the monitoring and testing fees or just the monitoring alone?
Name Withheld,
          Absent other considerations, there is no reason you should not hold the subscriber to the terms of the agreement.  Those terms require a 5 year commitment to make the payments, all the payments.  You can hold the subscriber to the balance of the payments for the RMR items, service, inspection and monitoring.  The contract has a liquidated damage provision for 80% of the balance of the term for the RMR.  
          What factors may there be that would cause you not to pursue collection against your subscriber?  Maybe the subscriber owns other properties you service, or has friends that have properties.  Maybe the new owner will engage you on similar terms.  Maybe you don't have staff or time to spend pursuing the subscriber in collection, though K&K's collection department makes it pretty easy with the arbitration provision in the All in One agreements.  Contact our head paralegal Kathleen Lampert if you want to pursue the subscriber.  Her number is 516 747 6700 x 319 and email is KLampert@KirschenbaumEsq,com.
          If you are, or become, a Concierge Program client then just call the Program Coordinator, Stacy Spector,Esq at 516 747 6700 x 304 or and she will get you started and monitor progress.
wrong address on contract
          We have a customer that has the wrong physical address on the original contract, just the numbers are incorrect and we need to get this corrected on our documents. What would be the best way to do this without sending a new contract? 
          The reason we do not want to send a new contract is that this customer owns a security company, but he is not able to monitor or provide inspections for his building since he is not a licensed fire alarm contractor in this state as of now.  We have a Fire Alarm All in One contract signed with them now for ten years and we don’t want to them scrutinize the contract if we send a new one now that this person owns his own security company. Can we just send a rider to correct this issue?
          If all that is wrong on the contract is the customer's address I don't think you have to worry about enforcement.  This is called a Scrivener’s error and it's a mutual mistake which can be corrected any time.  A new contract is certainly not required and you would make a mistake sending a new contract.  That would signal that you think the existing contract is not sufficient, i.e. enforceable.  
          You can send a letter, or email, asking the subscriber to approve a change of address on the contract, to be approved by return email or letter.  
          Don't make more of this than you have to, and next time, be more careful.  Next time it could be a material omission or mistake and you might be stuck.

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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
516 747 6700