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 ****************************** why and when to request personal guarantee on contract / Las Vegas in March February 3, 2026 **************************** Las Vegas in March **************************** If you want to attend ISC West you need to make plans now. My team and I will be at the Palazzo and having meetings at the Prestige Lounge. Hopefully you can still get rooms there and Prestige access. We will be booking meetings time soon. Hope to see you there. **************************** why and when to request personal guarantee on contract **************************** Ken I have a chain restaurant that wants me to remove the personal guarantee from the agreement. Should I/ could I do it? Patrick ****************************** Response ****************************** The commercial K&K Standard Form Agreements have a provision for a Personal Guarantee. You don't need to get that provision signed, but if you want a personal guarantee from your corporate subscriber then you do need to have the agreement signed twice, once by the corporate officer [or whoever is authorized to sign on behalf of the corporate entity - or an LLC] and once by the guarantor. You want a personal guarantee when you are dealing with a subscriber who you are not sure will be able to meet the financial obligations of the agreement, i.e., pay you. A personal guarantee also gets you, usually, to the top of the list for payment, when your subscriber is suffering financially, especially if the guarantor has assets other than the corporation assets. You would be more inclined to ask for a personal guarantee when dealing with a new corporate entity that does not have a proven track record, a corporation setting up temporary operations. A guarantee is appropriately signed by a corporate owner, though often employees will sign the guarantee, probably without realizing the consequences. K&K's litigation [collection] department routinely sues the guarantor and the corporate subscriber, and the cases with the guarantor do have better chance of collecting. Do not expect large or businesses with a proven financial track record to sign a guarantee, though again, a financially sound business owner may not feel threatened by the guarantee because of confidence in the business. A question that comes up time to time, whether the contract is valid without the guarantee; the answer is yes. No need for guarantee to be signed. ************************* STANDARD FORMS 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
