Question:

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Ken,

    We have found that providing security systems and monitoring to small to medium non-profits for little or no cost connects us to the type of customers(their supporters) we are looking for.  Should there at least be an exchange of $1 or more for contractual purposes?  Any other liability issues I should be aware of by providing the product and services at little or no cost?

Thanks,

Ron Riggins, President

Cops Inc. Security Solutions

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Answer:

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    There does not have to be a monetary exchange for a contract to be valid and enforceable.  There does have to be consideration on each side.  Your hopes for positive publicity, not to mention your altruistic and charitable motives, is sufficient consideration on your part.  So now that you can install the system, you want to know about your potential exposure for liability. 

    Since not all readers will relate to installing free or for cost systems for not for profit subscribers, this issue pertains equally for a free system installed for your family member, friend or anyone else.

    Once you install the system you are going to be held to the same liability as if you charged for the system.  From a tort, or negligence, perspective, an actor [that would be you - someone who does something affirmatively] is required to act in a reasonable manner.  In this context, you will be expected to install that system as if you were getting paid, according to code, industry standards, local custom, AHJ, manufacturer's instructions, etc. 

    To summarize, "no good deed goes unpunished".

    Make sure you install any system, free, at cost, fair price, rip off price - using a proper alarm contract - which you get at www.alarmcontracts.com