KEN KIRSCHENBAUM, ESQ ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE You can read all of our articles on our website. Having trouble getting our emails? Change your spam controls and whitelist ken@kirschenbaumesq.com ****************************** Is POA sufficient proof of agents authority April 18, 2026 ************************** Is POA sufficient proof of agents authority ************************** Ken Question: Is a POA acceptable for a management company to provide as proof: a. that they can sign for the owner, and, b. that they can manage the property for them. We are putting the owner on the agreement, C/O the management company. Roman **************************** Response **************************** Interesting question. The best answer is that a POA [power of attorney] could be sufficient proof of authority. Why do I hedge? Because telling me you have a POA doesn't tell me what the document actually states or whether it has been properly executed. While I am not sharing the POA in this article it vaguely states that the POA authorizes management of the property. Does that mean enter into long term alarm contracts? I don't know, but the POA could have been much clearer on its authority, or much broader so as to encompass any and all actions and activity the grantor of the power has; that would definitely include entering into a long term alarm contract. I can state unequivocally that the POA, even this one, is better than nothing, and nothing is generally what you are given by an agent. Usually the most you can hope for from an agent is apparent authority [which is good but debatable and raises issues of fact if contested by the principal]. What you typically get is a statement from the agent stating that the agent is the agent. This is typical from a Property Management company and it is useless as proof, other than for apparent authority. If you are cautious you should require something from the principal. That could be a consent on your contract which is signed by the agent, some document ratifying the contract signed by the agent, or some writing signifying that the owner is aware of the contract signed by the agent. Here is a good example of what works and doesn't. Example 1. Management Company signs the alarm contract [or even it's own vendor contract - which it will try and do most of the time and you need to carefully review and negotiate that vendor agreement - better yet join the Concierge Program and let K&K properly review and negotiate it]; you get a check from the owner paying the amount due, maybe for the installation or maybe for a few months' RMR. Example 2. Management Company signs the alarm contract; owner sends you a check, again for installation or some RMR. On the front of the check the owner write in the memo section: per alarm contract dated April 18, 2026. Only Example 2 is sufficient to establish the principal's acknowledgment of authority for the agent. Even though the owner is sending you a check in Example 1 there is no way to know if the owner was aware of a contract. Agent signs the contract. You could send it to the owner on your own if you have contact information. Not a bad idea if you can establish the owner's receipt of the contract. US Mail may not be as good as an email with attachment sent with Receipt Request upon opening the email. Though emails will at least establish that you sent the principal the contract, though it could still be argued that the attachment was not read or you sent it to someone other than the principal who had authority to read the principal's emails. If you are trying to enforce the contract the defenses, including lack of authority, can be quite imaginative. In other words, don't underestimate the lengths someone will go to in order to defeat the contract enforcement. And don't think the scenario is limited to a collection proceeding you start to collect on the contract. There might be a loss and you need to rely on the contract to defend yourself and the owner claims it knew nothing of the contract and thought your services were provided for whatever you charged without any written contract. If you send invoices to the principal that invoice should reference the written contract, at least by date. That would put the principal on notice that there is a written contract. Don't dismiss this as an important issue, because it's not important until it is, and then it is too late to fix. ******************* STANDARD FORMS Alarm / Security / Fire and related Agreements. click here: www.alarmcontracts.com *************************** CONCIERGE LAWYER SERVICE PROGRAM FOR THE ALARM INDUSTRY - You can check out the program and sign up here: https://www.kirschenbaumesq.com/page/concierge or contact our Program Coordinator Stacy Spector, Esq at 516 747 6700 x 304. *********************** ALARM ARTICLES: You can always read our Articles on our website at ww.kirschenbaumesq.com/page/alarm-articles updated daily ******************** THE ALARM EXCHANGE - the alarm industries leading classified and business exchange - updated daily ************************* Wondering how much your alarm company is worth? Click here: https://www.kirschenbaumesq.com/page/what-is-my-alarm-company-worth ****************************** Getting on our Email List / Email Articles archived: Many of you are forwarding these emails to friends or asking that others be added to the list. Sign up for our daily newsletter here: Sign Up. You can read articles and order alarm contracts on our web site www.alarmcontracts.com ************************** 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
