KEN KIRSCHENBAUM, ESQ
ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE
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more on alarm.com dealer concern
November 17, 2018
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more on alarm.com dealer concern
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Ken
We received a requested Dealer Agreement from Alarm.com to sell, install, service and monitor systems within the Alarm.com ecosystem. It was not what we expected. We are a long time Honeywell Authorized Dealer. When I compared the two agreements (including the Alarm.com terms and conditions that must be written into our Subscriber contract!), we determined that the proposed Alarm.com agreement is unacceptable. I am aware that Resideo will be sending a new agreement to all Dealers very shortly and hopefully it will not resemble the Alarm.com proposal.
Question – have you negotiated the Alarm.com agreement on behalf of an independent dealer?
name withheld
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Response
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As far as I know the alarm.com Dealer Agreement and the alarm.com terms and conditions are non-negotiable. I hit a brick wall trying to talk to anyone about the terms. That's when I decided to give alarm.com exactly what it wanted, a direct contract with the subscriber. That is accomplished with the alarm.com rider we attach to the All in One. The rider makes it clear to the subscriber that any claim against alarm.com must be subject to the alarm.com terms and conditions. Claims against the alarm company dealer will be governed by the All in One or other Standard Form Agreement.
Alarm.com requires its dealers to indemnify alarm.com. That's not unique because other dealer programs are going to have the same requirement. What is different about alarm.com, so far, is the requirement that the dealer agreement with the subscriber contain terms and conditions provided by alarm.com. Last time I looked, those terms were not as favorable to the dealer as the All in One terms. Even though alarm.com could have relied on the terms in the All in One, it dictates that its terms and conditions apply.
The dealer continues to be protected by the terms in the All in One, and that's how it's going to stay for the foreseeable future.
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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