An alarm company entered into an agreement to install a security system at a store and also agreed to provide a “central station signal receiving and notification service.” The agreement pointed out that, “In the event an alarm signal registered at the alarm company central station, the alarm company shall endeavor to notify the appropriate police or fire department and the designated representative of the customer.”
The store was burglarized, the alarm company did not inform the store of the burglary nor did they themselves respond. The burglary was not discovered until the following morning. It was determined that the phone lines had been cut on the exterior of the building and that about $1 million worth of merchandise had been stolen.