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Old 09-04-2018, 09:41 PM   #1
Jauchart
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Default Are these contract clauses legit?

I recently had a security system installed in my home by a small, local company. It’s just a 4-page contract for a home security system, but some of the clauses strike me as extreme. Is this standard? Your advice is welcome.

Clauses:
Owner agrees to and shall indemnify, defend and hold harmless [company], its employees and agents for and against all claims and/or lawsuits are brought to recover losses sustained by parties or entities other than the parties to this agreement (herein referred to as "third parties").

This provision shall apply to all claims, lawsuits or damages caused by Oak's negligent performance, whether active or passive and to all claims based upon defects in design, installation, maintenance, monitoring, operation or non-operation of the alarm system, whether those claims be based upon negligence, active of passive, warranty, or strict or product liability on the part of [company], its agents, servants or employees.

This agreement by Owner to indemnify Oak against third party claims as hereinabove set forth shall not apply to losses, damages, expenses and liabilities occur while an employee of [company] is on Owner's premises and which losses, damages and liabilities are solely and directly caused by the acts of said employee.

It is agreed that: i) the amounts paid to [company] are based upon the value of the services, ii) itis impractical, if not impossible, to fix the actual damages, if any, which may proximately result from a breach hereof or negligence related hereto, iii) that if [company] is found to be liable for any loss or damage for breach of this agreement or negligence incident hereto [company]'s liability shall be limited to a sum of $250.00. This sum ins not a penalty and shall be the sole and exclusive remedy of Owner unless the parties have agreed otherwise in writing.
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Old 09-05-2018, 11:30 AM   #2
adjusterjack
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Default Re: Are these contract clauses legit?

They are standard provisions of many service contracts and perfectly legal. You'll probably find similar provisions in your phone contract, cable TV contract and many others.

You should have read the contract before doing business with the company. Then you could have chosen not to do business if you didn't like the terms of the contract.

You're stuck with it now.
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Old 09-05-2018, 02:26 PM   #3
Lexus
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In this case if you are not fully satisfied with the terms of the contract, you can demand an amendment in the terms of the contract. If other party is not ready to accept the terms you suggested, you can withdraw from the contract.
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Old 09-05-2018, 02:45 PM   #4
adjusterjack
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Default Re: Are these contract clauses legit?

Quote:
Originally Posted by Lexus View Post
In this case if you are not fully satisfied with the terms of the contract, you can demand an amendment in the terms of the contract. If other party is not ready to accept the terms you suggested, you can withdraw from the contract.
On what planet is that even remotely acceptable?

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Old 09-06-2018, 10:13 AM   #5
Mandy 342
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Default Re: Are these contract clauses legit?

I canceled my home security service when I didn't like the contract, and signed with another firm, just FYI.
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Old 09-07-2018, 06:32 PM   #6
Highwayman
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Default Re: Are these contract clauses legit?

Quote:
Originally Posted by adjusterjack View Post
On what planet is that even remotely acceptable?

On Mars, maybe.

Apparently that's where Lexus is from.
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