Re: Evergreen Clause

[Jim <alarminex@xxxxxxx>]

On Nov 15, 1:34=EF=BF=BDpm, Matt Ion <soundy...@xxxxxxxxx> wrote:
?
>
> In case you haven't been paying attention to a.s.a for the last couple
> months... I don't believe this IS considered an acceptable way of doing
> business in the alarm industry, either. =EF=BF=BDAt least not in these par=
ts.
>
> =EF=BF=BD> I hope you see the irony here; it's not meant as any
>
> > sort of criticism in response to your post. I am simply pointing out
> > that if this sort of dreadful contractual arrangement is OK for alarm
> > companies to engage in, then it should also be acceptable for other
> > industries to try to "guarantee their revenue stream" as well.
>
> It's not the long-term contracts that are at issue, though - it's the
> automatic-renewal-for-another-long-term-unless-you-opt-out-with-lots-of-le=
a=EF=BF=BDd-time
> clause that's got people riled.
>

I agree. Long term contracts are never an issue with my clients. Where
the problems occur is from those who totally enforce them, not letting
people off the hook for any reason what-so-ever. And ..... the
automatic renewal.

As I've metioned before, here in NY, we are required to notify clients
with sufficient advance warning that their contracts are being
renewed. If we raise the monthly fee above a certain amount they can
opt out or I must recind the increase. And I always send a cancelation
acknowledgements, certified, returnt receipt as notice, when someone
terminates or is terminated. In all the years I've been in business,
I've only once (just recently) enforced a contract, which the client
offered to do, anyway.


> With my cel provider, I have the option to sign up for service three
> years at a time, and in exchange I get a new phone for free or cheap
> (shorter contracts are also available, with lower subsidies on new
> phones). =EF=BF=BDYet when my contract is up, it's not automatically renew=
ed for
> me - I just keep going along at the same monthly rate, on the same
> airtime plan, until such time as I decide to renew or cancel. =EF=BF=BDAnd=
 I can
> cancel anytime I want after the contract is up, no penalties, no
> keep-paying-until-the-end-of-the-month.


Yeah but obviously, in the alarm industy, we just can't let contracts
run out due to the limitaion of liability etc etc.
>
> Again, the long-term contract itself is not the problem - it's the fact
> that customers are given only a narrow window to opt out, and if they
> don't, they're stuck for another long term.
>
> In fact, this type of contract would probably be illegal here in BC,
> where a cable provider was smacked down several years ago for a similar
> type of "negative-option" billing: they would add new channels and
> service tiers without asking whether customers wanted them, and then
> after a short period (60-90 days), would start charging for them, unless
> the customer went out of his way to say he DIDN'T want them.-