In May 2017, a state judge preliminarily approved a settlement of a class-action lawsuit against Starion Energy.

The January 2017 complaint alleges that the company offers low initial rates for electricity and a month-to-month variable rate that is tied to the company’s cost of electricity when, according to plaintiffs, Starion Energy charges an “extraordinarily high premium rate for electricity” that is not tied to the market price and, as a result, customers pay as much as five times the market rate.

According to the settlement agreement, class members may receive a cash award based on the amount of power they used and the amount they were charged. In addition, the company agreed to modify the contracts (e.g., to include a prominently-displayed provision stating that savings are not guaranteed).

A final fairness hearing is scheduled for November 13, 2017. For more information, go to http://www.variableelectricsettlement.com/.

(Gruber et al v. Starion Energy, Inc., Case No. CV-17-6075408, Superior Court of Connecticut – Judicial District of Hartford)

For more information about other class-action lawsuit filed against energy suppliers, click here.


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