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 ****************************** warranty question October 19 2022 ********************* warranty question ********************** Ken How do I respond to this customer inquiry regarding the Commercial All in One? Alarm Customer Asks: I’m confused by the indemnity edits. If the equipment fails during the warranty period and results in a loss, Alarm Company wouldn’t have any responsibility? “this indemnity is not intended to cover loss by reason of failure of security or fire alarm equipment or services, for which subcontractor shall have no liability except replacement cost of the equipment if non-operable during warranty period. “ Alarm Customer *********************** Response *********************** The quick answer is that the Limited Warranty entitles the customer to have the faulty equipment repaired or replaced during the warranty period provided the equipment fails from ordinary use. But the alarm company is not an insurance company and cannot and will not be responsible for whatever loss the customer may experience; that’s why the customer carries insurance, or should. Interestingly enough this customer has focused on only one provision in the Commercial All in One, among many, which serves to shift the risk of loss in the event of a loss. That shift is to the customer and presumably its insurance coverage for the perils insured against. There are many provisions in the All in One contracts that convey the same basic message, that the alarm company is not responsible for customer loss in the event the alarm system or service doesn’t work as intended, to detect a condition. When you join the Concierge Program you get a free half hour each month for contract review, customer challenge and negotiations with the customer or its attorney. That benefit alone is worth the price of admission into the program. And not just because it’s a great deal monetarily, but because it will encourage you to engage knowledgeable counsel to deal with and address customer challenges. Contract changes can be made but have to be done carefully. A client recently called and started with “I made a few changes to the K&K contract language, what do you think?” I laughed and responded, “If you installed a fire alarm in my premises how you would respond if I called to say “I opened the panel and made a few changes I thought would be great, what do you think?’ Then she laughed and got the message. Sure there are provisions in the Standard Form Agreement that you can modify; they are the “business decisions” such as length of term, extending warranty period, changing hours of operation for repair service, how much you charge; maybe a few others. But most of what’s in the Standard Form Agreements is there drafted with precision and careful thought. Statutes and case law were reviewed; input from hundreds of alarm company owners was considered. Constant review and revisions are made based on these same criteria. You should assume that the contract provisions are written the way they are for a reason, a legal reason. ********************** To order up to date Standard Form Alarm / Security / Fire and related Agreements click here: www.alarmcontracts.com *************************** 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. *********************** ALARM ARTICLES: You can always read our Articles on our website at ww.kirschenbaumesq.com/page/alarm-articles updated daily ******************** THE ALARM EXCHANGE - the alarm industries leading classified and business exchange - updated daily ************************* Wondering how much your alarm company is worth? Click here: https://www.kirschenbaumesq.com/page/what-is-my-alarm-company-worth ****************************** Getting on our Email List / Email 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. You can read articles and order alarm contracts on our web site www.alarmcontracts.com ************************** 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
