If you purchased natural gas or electricity from Frontier Utilities, Inc. (Frontier Utilities) based on a promise of savings or a competitive variable rate that is based on market conditions only to find out that you have been charged excessively high rates, you may have a claim against Frontier Utilities. Frontier Utilities is an independent, alternative energy supplier, otherwise known as an Energy Service Company (ESCO), that competes with established local utilities and other ESCOs in New York, New Jersey, Pennsylvania, and Texas by purchasing natural gas and electricity at wholesale rates in the open market, which it then sells to consumers at theoretically lower and more competitive rates.
Unfortunately, some ESCOs trick reasonable customers into switching their natural gas or electricity supply services by offering teaser rates that are fixed for a limited period of time and initially lower than competitors’ rates for natural gas or electricity. Once the fixed rate expires, these ESCOs switch their customers over to a market-based variable rate, which is substantially higher than the competing local utilities’ rates, competing ESCOs’ rates, and the initial teaser rate, and is disconnected from the market.
FBFG has recovered tens of millions of dollars for ESCO consumers and we are investigating whether Frontier Utilities is unlawfully deceiving consumers by employing this “bait-and-switch” tactic. Frontier Utilities claims that its monthly variable rates are competitive and based on market conditions. However, this may be a deceptive misrepresentation if the rates are, in fact, substantially higher than the rates other suppliers are charging. If you or someone you know is a customer of Frontier Utilities, or any other independent supplier you believe may have misrepresented the true amount of their energy rates, please contact us to discuss your legal options.