Legal Question in Consumer Law in Nebraska

Re: illegal billing practice?

To give an authoritative answer; I would need to review the agreement you signed with the alarm company, previous bills, and the letter explaining the error. If I reviewed those items, it would probably cost you at least $300. I would presume they have provided you with a level of service that they did not bill properly for the last 7 years. 5 years is the statute of limitations to recover under written contracts. Do you owe the money? Probably yes. Is the billing error their fault? Definitely yes. Is it their loss? Maybe. It depends. They might present the claim in small claims court and, if they win, receive $700. They might turn the unpaid balance over to a collection agency and receive a much smaller amount than $700. If their service contract with you allows them to add attorney fees to unpaid bills, they might sue you and collect the $700 plus attorney fees and court costs. If you call their service manager and tell him that you will be switching to another alarm company because their error has shaken your confidence in their level of professionalism and service; he might settle for a much lower amount if you agree to stay.