KEN KIRSCHENBAUM, ESQ
ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE
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Comment on Compliance Depot  / Rider for multiple locations / Schedule Free meeting at ISC / Round Table Discussions at ISC
February 18, 2020
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Schedule Free Private meeting while at ISC with Ken Kirschenbaum
            I am scheduling free meetings at ISC now for March 17, 18 and 19, 2020. The meetings are free and scheduled in half hour increments.  Any issues can be discussed or just stop by to chat.  To reserve a time please contact Stacy Spector,Esq at 516 747 6700 x 304 or SSpector@Kirschenbaumesq.com.
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Round Table Discussions while at ISC, at Palazzo Hotel.  Free to participate.  Space very limited so book now.  Call Stacy Spector,Esq at 516 747 6700 x 304 to reserve your seat.  [other topics may be announced]
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Round Table:  March 18, 2020 at 11 AM.  Join Morgan Hertel, VP of Technology and Innovation, Rapid Response Monitoring and Ken Kirschenbaum for a round table discussion on ​current state of monitoring including technology and well as outside influencers like minimum wages and privacy laws. 
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Round Table:  March 18, 2020 at 1 PM.  Join Mitch Reitman and Ken Kirschenbaum for a round table discussion on Taxes and Corporate issues for alarm companies relevant when selling or buying accounts. 
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Round Table:  March 18, 2020 at 2 PM.  Join Ron Davis and Ken Kirschenbaum for a round table discussion on Selling or buying alarm accounts and RMR issues.
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Round Table: March 19, 2020 9:15 AM  Join Troy Iverson, VP of Sales, Brian Davis, CFO of AvantGuard Monitoring Centers and Ken Kirschenbaum for a round table discussion on the Current state of the Financial/Capital Market Stability in the Security Industry and necessary agreements needed for security companies. (Titian 2202 Meeting Room just off the show floor)
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Round Table:  March 19, 2020 at 1 PM.  Join Sharon Elder, VP Sales, USA Central Station and Ken Kirschenbaum for a round table discussion on the value of quality video contracts and services
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Round Table:  March 19, 2020 at 3 PM.  Join Bart Didden, Executive Claims Administrator, Security America and Ken Kirschenbaum for a round table discussion on ​Errors and Omissions Insurance Claims and Risk Management
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Comments on Compliance Depot from February 10, 2020
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Ken,
            On the Compliance Depot article on February 10, 2020, I have a couple of things to add. 
            Compliance Depot is dominant in the multi-family residential space. Their primary mission is to enable small, typically one person businesses, to work for large property management companies.  Multi-family is not for everyone. They tend to be slow payers, question every dime and are not loyal at all, In my opinion.
            Compliance Depot charges the contractor for EVERY single entity (larger management companies may have dozens of LLC’s, some even have dozens of portfolios within each LLC) and they make the contractor submit the same information EVERY time, not just a different name on the Certificate of Insurance. This is burdensome and expensive. 
            Regardless of the opportunity, I would never agree to their ominous terms and conditions.
Anonymous for this one please
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Ken,
            One of our customers signed up with a “compliance” company that collects license and proof of insurance form its contractors. I saw the part about limiting liability and a $200 registration fee to the compliance company. 
            I contacted the company we had a contract with and told him that our bill is too small to accept the liability and the fee to register with the compliance company. He agreed and said do not worry about it. I was paid and still have the client. It was not the owner but apparently whomever I spoke with understood and the request was dropped.       In fact they dropped the compliance company. Unite people, stand up against this.
 Sincerely,
 Jon Hinds, Security Analyst
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Response
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            Customers and their representatives, including “compliance companies” will come up with their form agreement which will expose you to unreasonable liability.  You need to stick to your Agreement and insist that any contract negotiations be about your Agreement, not the customer’s form.  This is of course rule of thumb advice.  There will be times when you Must have the job and you will agree to just about anything to get it.  For those times you need really good insurance and lots of luck. [some advice from counsel would be a good idea too]
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Rider for multiple locations
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Ken
             I appreciate your newsletter and the FREE advice you put out.
            I want to ask about the question in the February 9, 2020 article on multiple locations.  I am in the fire alarm and fire extinguisher industry and I know this customer was in the Alarm/CCTV industry:  The question presented in the Feb 9 article as 
            “Ken
             I have an existing customer with a construction company and three different locations.  One location is his home with a home office. All 3 locations have alarm and CCTV.  Should I have separate contracts for each location or one for all three? He pays for all three from the business.
PG”
            You responded::
                        “You certainly need to use the Residential All in One for the residence.  You should use the Commercial All in One for the commercial jobs and it would probably be easier to have a separate contract for each location, even if it is the same subscriber.  As far as accepting payment with one check, that's fine.”
            This is my question:
            Your office created a “Rider for Multiple Locations” a while back for us to use.  This rider was generated for us to have our customers/subscribers that have multiple locations to sign and date so that it would bind them with the “Commercial All In One Fire Agreement” so they don’t have to sign a Fire All In One Agreement for each location.  Once they would sign the “Rider” form, we then send them a proposal for each location with the “description of services” that we will provide for their different locations”
            Is it still beneficial for us to continue using this “Rider for Multiple Locations” with my customers that have multiple locations?  Or, do I need to start having them sign an agreement for each location (which I don’t think they’ll be happy if we will need to have them sign one per location).
            If you can please let me know so this way we know that we are protected by your agreements that you provide, I would greatly appreciate it.
            Like always, I appreciate your time 
Thanks again Ken
Xavier E. Gonzales
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Response
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            The Rider for Multiple Locations was created because many clients wanted to avoid getting a separate contract for each location.  This avoided discussion regarding the contract provisions and limited contract terminology challenges to just one time.  The Rider basically incorporates the terms of the main contract, one of the All in One Agreements.  
            The Rider for Multiple Locations will not eliminate paperwork for new locations because each location will have to be documented as they come up.  Some additional locations will have the exact same installation specifications and RMR pricing, but others will require unique specifications and pricing for each location.  New commercial fire alarm jobs would no doubt be in this latter category, whereas a basic home alarm in new home construction of similar model homes would be in the former category.  
            The Rider for Multiple Locations has been in use for several years now and has proved to be useful and easy enough to use.  Keep in mind that you have to start with one of the All in One Agreements, and you should make sure it’s an up to date current form.
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To order up to date Standard Form Alarm /  Security / Fire and related Agreements, click here:  www.alarmcontracts.com
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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
www.KirschenbaumEsq.com