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ONLY FIRST 100 SIGNING IN WILL HAVE ACCESS
Sign in 10 minutes early -starts at 12 noon EST
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PROBLEM GETTING FIRE ALARM CONTRACT SIGNED - WHAT TO DO
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Ken,
As far as getting your commercial fire contract signed by my commercial customers, it is not going too well. I am losing a considerable amount of business because I take issue with signing the customer provided contract. ( They throw mine in the trash! ) I can see now that I will need to change my focus from commercial work as most of the Management companies in my area are requiring that I sign their contract. They strip away my terms leaving basically the price and equipment info and paste it into their own contract. Here is the section of what is called a "boiler plate" indemnity clause.
Indemnification: Vendor shall defend, indemnify and hold harmless Contracting Party, the Owners of the building, and its and their agents and employees ( Indemnified party ) from and against any and all liability claim, damage, loss or expense ( including without limitation court costs and attorneys fees) resulting or arising from any act or omission of vendor, its agents, employees or sub contractors, but not to the extent arising directly out of negligence of contracting party. This paragraph shall survive expiration or termination of this contract.
Am I making a mountain out of a mole hill? I am ready to cancel this customer as a result of this. It is a large customer for me with multiple buildings but, so be it.
Is this indemnity clause as bad as I think. Based on my years of listening to you, I believe it is. What are your thoughts?
ANON
in Florida
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RESPONSE
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You know, it's always you, Anon, that keeps having problems all over the country (I did get more than one email wondering why anon had so many problems). Anyway, here is how you handle the indemnity provision. (1) You add the subscriber to your insurance as an additional insured and (2) you provide that your indemnity is limited to your insurance coverage.
Be sure to let you carrier know the change you made. You may need to obtain additional insurance and you should try and pass that expense along to your subscriber. I don't want you to pass up the work over this issue.
Learning to sell your agreement form to your subscriber is an art in and of itself. Maybe a harder sell than the alarm system with all the bells and whistles. However, you're a sales person and should have no trouble mastering the sale. Having said that, of course you are going to run into plenty of situations where the subscriber isn't going to sign your form agreement, no matter what it provides, and require you to sign it's form. That form agreement presented by the subscriber is going to be anthethical to your form agreement, naturally. No alarm company is in the position of presenting its iron clad agreement to a subscriber who is compelled to sign it; the subscriber has many choices for the alarm services and, except in commercial fire, can opt to do without the service altogether. But that's OK. We are not looking to back a subscriber against the wall and force terms of a contract that are so unconscionable that enforcement is going to be a problem. Understanding the reason for the alarm contract provisions is essential to educating the subscriber why the terms are necessary for you and appropriate for the subscriber.
The Commercial Fire All in One is designed so that you and the subscriber understand that the AHJ is in the drivers seat, not you or the subscriber. I am also confident stating that the Standard Form Agreements are the most easily readable and understandable forms available to the alarm industry that meet the necessary requirements to protect the alarm company. The system and services are also generally required, rather than optional. so the subscriber needs the service. The fact that most all reputable fire alarm companies will require the same or similar contract is helps get your form signed. Of course there are going to be subscribers who won't even look at your form, and you need to decide if those jobs are worth the time, effort and risk - and often they are.
When faced with a subscriber's form you will have to access the risk and reward, and perhaps supplement your insurance coverage to indemnify the risk. I am always availabe to guide and if necessary represent you with your contract negotiations.
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TODAY'S WEBINAR - No Charge To Attend
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Title: Learn how to design sales presentations using tablets and computers.
When: October 8, 2014 12 noon to 1 PM EST. Sign in on your computer and dial in to participate. Register here (space limited so register now): https://attendee.gotowebinar.com/register/2478859221657647105
Description: This webinar will introduce you to sales techniques and tools using tablets and computers to do sales presentations. Puffington will customize your sales tools utilizing our templates and proven sales presentations designed specifically for the alarm / security industry.
Presenter: Luke Goetting Luke@Puffingston.com; 312-620-0704 Puffingston is listed on The Alarm Exchange under Technology that increases or preserves your RMR.
Who should attend: Alarm company owners and sales managers and sales personnel
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TO SUBMIT QUESTIONS OR COMMENTS REPLY TO THIS EMAIL OR EMAIL Ken@Kirschenbaumesq.com. Most comments and questions get circulated.
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Speaking Engagements
If you would like to schedule a free live video/webinar presentation for your association meeting or event contact Eileen Wagda at 516 747 6700 x 312.
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Alabama Alarm Association. AAA's Fall Meeting and Trade Show - October 21, 2014 from 3 to 5 PM at DoubleTree Hotel 808 South 20th Street Birmingham, AL 35205 for more info contact AAA Executive Director: director@alabamaalarm.org (205) 933-9000
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