KEN KIRSCHENBAUM, ESQ
ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE
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comment on terminating temporary fire alarm service
October 23, 2019
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comment on terminating temporary fire alarm service from October 7, 2019 article
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Ken,
            If contractor doesn't pay you can't just stop monitoring or your still liable;  It’s life safety.
Jimmy
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Response
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            Can you terminate alarm service?  Under what circumstances?  How do you terminate the service?  What liability do you face upon termination?
            These are common   questions.  It’s true that many alarm services fall under the category of life-safety services, but you are not a public utility service governed by government promulgated tariff regulations.  Your relationship with the subscriber is created by and governed by your agreement. Your agreement will specify when and how you can terminate services.
            Services can terminate because the contract term expires [if there is no auto-renewal provision], the subscriber cancels, the subscriber defaults, circumstances render your performance impossible or you decide to terminate the contract.
            You can’t simply breach the contract with impunity. Maybe you made a bad bargain, not enough money or subscriber is undesirable area out of your territory. If you breach the contract your subscriber will be entitled to “cover”; find another alarm service provider to perform the same service and hold you responsible for any increase in price for the service. We see this rarely because there are usually ways for the alarm company to terminate the contract for the subscriber’s breach which then terminates continued performance by the non-breaching alarm company.  
            Subscriber default or early termination should be addressed in the alarm contract.  It’s certainly addressed in the Standard Form Agreements.  You can terminate service.  You don’t have to notify the subscriber, though you can and probably should. If it’s a fire alarm service you should notify the AHJ that fire alarm service is terminating.  Be sure to identify the specific date and time that you will be terminating service, and make sure you actually do terminate the service at that designated time.
            Ready to sue your subscriber for breach of contract? If you use K&K Standard Form Agreements then K&K will represent you.  Contact Gina Borzacchiello at 516 747 6700 x 319, or gborzacchiello@kirschenbaumesq.com, or give me a call to get you started.
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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