KEN KIRSCHENBAUM, ESQ
ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE
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************************************sub wants monitoring but won't sign updated contract / customer breach December 26, 2017
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sub wants monitoring but won't sign updated contract
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Ken,
My company has used you contracts for many years. I have a long time customer who signed your contract from 1986, it has auto renewal in it, and the wife signed it. I recently replaced a motion sensor and asked the customer to sign your updated contract. The husband is refusing to do so. I told him I would have to terminate his monitoring services. He stated if I did he would sue me for breach of contract, because he believes we are now under a long term verbal agreement. Does he have any basis for this lawsuit
Greg
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Response
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The threat is as baseless as his contention that he has a long term verbal agreement. First, the contract belies any notion that there is a verbal agreement because the written contract is in automatic renewal. That renewal period in the Standard Form Agreement is month to month, so all you need do is give 30 day notice of termination. Second, the statute of frauds prohibits enforcement of a verbal contract that can't be performed within a year, so the longest verbal agreement you can have is one year.
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customer breach
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Ken,
We have a customer that has gone AWOL. They have paid only two quarterly payments of their 10-year fire contract and 5-year burglar contract. Both contracts have pre-paid inspections included in the contract. They recently brought in another company to do their annual fire inspection. This has me really concerned.
I've called and called, I only ever get voicemail. I've emailed and never get a response. They are now two quarterly payments behinds (totaling $823.04). With 36 Fire Quarters Remaining and 16 Burglar alarm quarters remaining in their contract.
Thank you very much,
Dan
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Response
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Since you use our Standard Form Agreements we provide support; we will pursue collection against the subscriber who has breached the contracts. Your first step will be to commence arbitration. Contact our head paralegal Kathleen Lampert at KLampert@KirschenbaumEsq.com or 516 747 6700 x 319 for assistance in getting 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
516 747 6700
www.KirschenbaumEsq.com
