My alarm company has billed me before doing anything

["dcalarms" <mdcalvert@xxxxxxx>]

I contracted with a local alarm company in December.  The day after
the contract was signed, I called the salesman and asked to have two
sensors removed from the contract.  We agreed that I would go to the
same local electronic supply house (where I have shopped for years)
and buy some additional sensors and then do the pre-wiring myself.
The salesman agreed and we reduced the contract charges by about $300
and agreed that they would install a DSC Kit, the QP6-3-433, and that
I would go ahead and pull the electrical and phone connections to the
point where the box and panel were to be installed.

I subsequently realized I didn't have time to do the work right away
and called and spoke with one of the company's owners and asked him to
wait until I had time to do the pre-wire and purchasing of the extra
sensors and boards I want to ad.  He agreed with no hesitation and
even offered to buy anything I wanted and bill me at his cost.

Since that conversation a month ago, I visited the electronics house
and picked up pointers on a different kit that would be better for
what I want.  I also obtained the price for thie kit that is on my
contract.

To this date, the alarm company has done nothing more than have a
salesman spend a coouple of hours selling me the system and writing a
contract.  They admit they have not bought any items for my job and
they have not done anything except talk with me.

Friday, I received an invoice, marked 90 Days Past Due, for the full,
original contract cost, plus a full charge for a quarter's monitoring
-- of a system that has never been installed.  Despite the 80 Days
Past Due, they've never invoiced me before.

As alarm systems professionals, what would you do if you were in my
place?

Options:

Call the owner again and ask him to explain the invoice.  If he is at
the least uncooperative, advise him that I want to cancel the contract
because of the poor customer service and ask for all of my $300
deposit back -- except for a $50 deduction to pay the salesman's
commission.

Refer matter to state alarm company licensing bureau and ask them to
investigate the matter.

In addition to referring it to the state authorities, contact the
local BBB and register a complaint about the company's business
practices.

Make no contact with the company or the state and file a small claims
court action to get my entire $300 back and then cancel the order.

I suspect that somewhere, in this group, there are dealers and
salesman who have been on the other side of this situation -- and
maybe a consumer or two that has been in my situatin.  I'd like to
read ideas from both sides of the equation.

Thanks,

DCAlarms2007