ACT Could Smoke Alarm Maintenance Possibly be a Scam?

[HappySquirrel]

Hi all,

My R/E is putting on the pressure for me to engage "Smoke Alarm Solutions" (SAS) for my ACT rental property - very coercive emails including the following:

The only options that will be available to landlords once this legislation is introduced, is to either have their smoke alarms cleaned, tested and certified compliant by a licensed professional, or take responsibility for this themselves.

By declining this service, landlords will need take action to provide alternative smoke alarm maintenance and will accept all of the risks associated with non-compliance and understand that they may be liable for fines and in the event of an insurance claim may be rejected if their property is found to be non-compliant. We have also included what needs to be completed by landlords below:

I understand current smoke alarm legislation including a specific amendment to the building code which states that properties built post September 1994 require hard-wired smoke alarms to be installed.

I understand that I will need to inspect my property’s smoke alarms on a regular basis to ensure they do not become damaged or faulty.

I understand how to correctly position smoke alarms, how to read manufacture and expiry date coding and I have the equipment necessary to test the decibel output of the smoke alarm to a minimum of 85db. I also have the correct equipment to clear any debris from each alarm.
By declining this service, I understand I need to provide details regarding alarm types, locations and expiry dates along with a statement outlining of the property’s compliance.

They also claim there are some new laws are coming into effect in the ACT later in 2017.

I have pushed back saying I can install a detector myself, even renew it once a year for less than the SAS fees but they are still pushing for all sorts of signatures to release them of their "duty of care".

Is there any basis for the impending legislation changes in ACT? Or is this all just a scam?

Thanks,

 

[Tim W]

Are you the owner, or a tenant?

 

[HappySquirrel]

Are you the owner, or a tenant?

Hi Tim,

I am the owner and the unit is pre 1994.

 

[SamanthaJay]

Take responsibility for this yourself. I would just say thanks, but no thanks. And not sign the above if that's what they are trying to get you to do...cover their own arses.

 

[Rod]

Agree with Samanthajay. They are covering their backsides, which they need to do. They are giving you the advice you need and saying you have an option.

Victoria has had this for a few years now. Totally unnecessary legislation in my view but it is what it is. Either DIY or pay someone, don't neglect it as you risk your investment if fire does happen. One of the first questions an insurance company will ask is if the unit had working smoke detectors. If the answer is no, forget about receiving insurance money.

 

[Tim W]

1. Agents work for owners. Often, they forget that.
   
   
2. Do not sign anything that was not your idea.
   Especially when they start waving the phrase "duty of care" around
   as though they know what it means.
   
   
3. As an owner, you get to decide with whom you enter into any M&R contracts.
   Now may be a good time to check the wording of your agency agreement carefully,
   because it may give the agent more authority than you thought to act on your behalf
   (and maybe more authority that you'd like).
   
   
4. You should have a smoke alarm in your home/ property regardless of the build date,
   and regardless of any new law.
   This is because having a smoke alarm is a very good idea regardless.
   That thing about "Smoke Alarms Save Lives" is true.
   
   
5. The bit of new law could be Residential Tenancies Legislation Amendment Act 2016 (ACT),
   which has not yet commenced.
   There are some new duties on lessors ("landlords") that will apply when it does commence.
   Don't rely on what salesmen tell you, read it first hand in the link above.
   
   
6. Consider that, regardless of the above act, and regardless of your agent and their antics,
   your insurer may require smoke alarms as a condition of insuring (or continuing to insure) the property.
   
   
7. The most effective way to control insubordinate real estate agents is
   to talk to them in their own language, that is, money.
   Your agent might be correct about the new act. But if the agent's language and manner
   is not to your liking, then give some thought to taking your business elsewhere.

 

[ChristopherAdam]

I can tell as someone who has run a company that installed and tested smoke alarms that the scammers are the installation companies taking advantage of this law, their prices are very high (unless the installation company need special additional insurance, but I that’s unlikely). Also I would guess your also paying for the little gift the real estate agent may be offered to sign you up.
The initiative is a good idea just the pricing needs to regulated.

hope this helps.
C

 

[Tim W]

Yeah.
You can be quite confident that your agent will be getting a secret commission here.

 

[ChristopherAdam]

Yeah.
You can be quite confident that your agent will be getting a secret commission here.

I’d say the yearly maintenance fee includes a cut also for the body corporates as well as the agents cut,
you’re paying for all of it