KEN KIRSCHENBAUM, ESQ
ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE

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companies that sue their subscribers / 3 day notice for electronic contracts
October 6, 2018
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companies that sue their subscribers
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Ken,
    What do you feel is the percentage of dealers that use your contracts who sue clients that breach contracts? 
Thank you,
John
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Response
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    This is a tough one because not all alarm clients who buy the Standard Form Agreements send me their defaulting customers to sue.  Some resort to Small Claims Court [usually a mistake], some engage a collection agency [usually a mistake] and some engage some other attorney [usually a mistake].  Sure, many of you have success stories with your collection case experience, but if you examine more closely, your case ended up getting settled, not tried by a judge.  So if you want to tell me about how successful you were on your case, start by saying it was tried and you have a favorable decision.
    Most cases get settled, so its important to commence the collection process as soon as possible.  The sooner you start the more likely it will be that the customer can be salvaged or will settle.
    Many of the smaller companies don't have the time to pursue defaulting customers, and many of the larger companies don't want to bother or fear risking consumer complaints which would end up costing more then what might be recovered in a collection matter.  So I think it's fair to say that most companies don't pursue defaulting subscribers, at least to the point of commencing a lawsuit.  There is probably some results in making collection calls using in-house personnel.
    If you use our Standard Form Agreements we will support you to pursue defaulting subscribers, at least through the arbitration process.  We commence proceedings within a day or so of getting the papers from you.  My office has years of experience and training.  Every effort will be made to resurrect the account, salvage the customer relationship, or recover the amount owed, which will include the balance of contract and equipment value if leased.  Contact our head collections paralegal Kathleen Lampert at KLampert@Kirschenbaumesq.com or 516 747 6700 x 319.  
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3 day notice for electronic contracts from September 29, 2018 article
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Ken,
    Responding to the question from Rehka on September 29, 2018 article, asking if it is necessary to get the 3 day cancellation when sending a contract to a customer electronically or by mail.      Remember that when it comes time to sell, most Buyers are going to be looking for that 3 day for every residential contract.  They don’t know whether or not a salesperson visited the location, and, this may surprise you, but some Sellers don’t tell the truth when they realized that they screwed up, and the Buyer may not believe that no salesperson visited the house.  Even if the Buyer is OK with it, their lender may not be.  Use Ken’s Agreements, follow his instructions, and keep them current. 
Mitch Reitman
Reitman Consulting Group
Fort Worth, TX
817-698-9999
http://www.reitman.us
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Response
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    Good advice - especially recommending the Standard Form Agreements.  When doing electronic contracts be sure to use the Disclosure and Consent form.
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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
516 747 6700
www.KirschenbaumEsq.com