KEN KIRSCHENBAUM, ESQ
ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE
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DIY licensing  / Comments on cross mfg  / comment on DIY problems
June 8, 2019
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DIY licensing
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Ken
            Re: DIY Systems and licensing.
            Had a brisk discussion recently with one of the Ring (doorbell people) reps that are now hawking alarm systems. Apparently they’ve opened their own central station and are trying to solicit alarm dealers and others to install their burglar alarm equipment.      They basically pay a flat small amount to the installer initially but there’s no residual from the monitoring going back to that installer. I told the Ring rep anybody would have to be out of their find to waste time installing something that they don’t have any reoccurring revenue from. He told me that there are plenty of people (some of which are not specifically license to install alarm systems) that do the installations for them now. That led me down to the road explaining to this rep that anybody that enters somebody’s home to install a security system NEEDS to be licensed per the state requirements they are working in.
            This rep told me that his corporate people at Ring said that’s not the case.  “To install a simple wireless alarm system in a home, anybody can do that for the customer and they don’t necessarily need to be licensed”.  He did tell me that Ring central station is licensed and I said that’s not good enough for subcontractors going to peoples’ homes installing alarm systems; those installers need to be properly licensed.
            We basically ended the discussion with agreeing to disagree.
            Ken, what’s your take on this?
Dan 
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Response
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            You are correct about licensing.  If you install alarm equipment you need to have an alarm license [in those states that require an alarm license].  Keep in mind that alarm licensing laws are different in each state, so it’s not enough to say you need a license for every alarm system.  Systems may need to be capable of reporting a signal to a central station to require the installer to be licensed; or communication to the customer’s smart phone may be enough to require an alarm license.
            You don’t need an alarm license to sell DIY [or any equipment] as long as you don’t install, service or monitor the equipment.  Once you install in residences you are either going to need an alarm license or home improvement license, or both.  You may find a home improvement license more burdensome than an alarm license.
            You cannot send unlicensed subcontractors to do installation in a residence unless you cover the subcontractor in the same manner as you cover your employees for alarm license purposes; they may need to carry a license, be registered or certified, whatever the licensing law requires.  
            Some license laws cover more than installation and service; they cover monitoring.  Monitoring usually means signals to a professional central station who is then expected to call first responders.  Calls to subscribers’ phone may not be included, and customers don’t need a license to install their own systems and monitor those systems themselves. 
            The nationwide operations should and do face the same regulations as local companies.  You need to check license requirements, sometimes not just the state, but cities and municipalities you intend to install service or monitor alarm systems.  The Licensing Department at K&K can help.  Contact Jennifer Kirschenbaum,Esq at 516 747 6700 x 302.  For nationwide license compliance and agreements, contact Eileen Wagda at 516 747 6700 x 312.
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Comments on cross mfg from May 23, 2019 article
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To Dave Watkins, Joel (FBN Security), Joseph Hayes and  Al:  Thank you for your input regarding "cross manufacturer for non-UL installation". It is much appreciated.
Lior Rubin
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Comment on DIY problems from May 28, 2019
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Ken, 
            Just want to give a thumbs up to John Yusza's post regarding DIY   
            My sentiments exactly! 
            Free Alarms   versus  DIY  …… per Yogi Berra    "It's DeJaVu all over again"
Gene
Reliable Alarm
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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