If you purchased electricity from Verde Energy USA, Inc. (Verde Energy) 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 Verde Energy. Verde Energy is an independent, alternative energy supplier, otherwise known as an Energy Service Company (ESCO), that competes with established local utilities and other ESCOs in Connecticut, Illinois, Massachusetts, New Jersey, New York, Ohio, Pennsylvania, and Texas by purchasing 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 electricity supply services by offering teaser rates that are fixed for a limited period of time and initially lower than competitors’ rates for 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 Verde Energy is unlawfully deceiving consumers by employing this “bait-and-switch” tactic. Verde Energy 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 Verde Energy, 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.