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Should you sue the alarm company who poached your account
January 17, 2020
Should you sue the alarm company who poached your account
            Nobody likes losing business, and it’s even worse if the lost business is going to your competitor.  What makes it completely intolerable is when your competitor solicited and stole the account.  But is suing your competitor the smart move; generally, the answer is that it’s not. Why?
            Unless you have an agreement with an enforceable restrictive covenant, or some statutory deceptive business practice claim that offers a private right of action, the claim against the offending alarm company is going to be for the tort of “tortious interference of contract or business opportunity”.   That claim is almost certainly a waste of time if you can’t prove you have an enforceable contract.  Once you determine that you do have a contract with your subscriber the easiest claim you can have is against the subscriber, not the other alarm company.  Establishing and pursuing your claim is easy if you have the Standard Form Agreements, and K&K’s collection department will represent you in the collection matter, at least through the arbitration process.  
            If you decide to pursue a claim against the alarm company who stole the account you will not only have to essentially prove your case against the subscriber, but then against the alarm company.  You will find that they team-up.  You will have provided your subscriber with a free “expert” who no doubt is going to claim that your system was inadequate or defective.
            If you have a competitor who is targeting your accounts then you have no choice but to sue that company.  It’s an uphill battle and sometimes it may be easier, and more effective, to respond in kind, targeting that company’s customers.  

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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