March 11, 2014 Category: Commercial Litigation
Believe it or not, the weather plays a large part in many markets. This is definitely the case with the energy industry in Michigan or in any other state. One energy company is finding this out following a recent spate of cold weather in its area. This caused energy bills for consumers to increase, which has prompted consumers start business litigation against the energy company.
The energy company had promised local residents lower electricity bills if they switched from their previous provider to the company’s services. After local residents made the switch, their bills were significantly lower for the first two years. However, after a recent period of unprecedented cold weather, local residents experienced skyrocketing electricity bills.
This caused consumers to file a lawsuit against the energy provider. The legal complaint alleges consumer fraud and is asking for monetary damages. The plaintiffs are asking the court to grant class action status, which would possibly result in a claim of monetary damages totaling millions of dollars. The lawsuit also alleges that the defendant falsely claimed that consumers are not under contract with the energy company, when in reality they did have a contract that required them to wait 30 days before switching services back to their original energy provider.
On the other hand, the energy company, just like any other defendant in Michigan or elsewhere, also has its own side of the story. The energy company will be able to present its side of the story during the business litigation process in court. Ultimately, the judge will decide whether the company is liable for any damages.
Source: nj.com, Lawsuit alleges NJ alternative energy provider pulled ‘bait-and-switch’ on consumers, Alexi Friedman, March 6, 2014