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Starion Energy Inc and subsidiaries Starion energy NY Inc and Starion Energy PA Inc have agreed to settle a class action lawsuit that disputes the electricity supply rates the companies charged customers. Lead plaintiff Lydia Gruber filed the Starion Energy Inc class action lawsuit in January of 2017. The class action lawsuit alleges Starion Energy Inc mislead customers by claiming the variable rate charged for electricity supply services reflected the cost of electricity procured from every source.
Gruber states in the class action lawsuit that the contract created by Clarion includes a provision that states variable rate electricity fluctuates because of the changes in the cost of acquiring electricity from multiple sources. The class action lawsuit alleges Clarion failed to decrease the price of electricity for customers when the cost of procuring the electricity decreased. According to court documents, Gruber asserts “Through this scheme, Starion subjects consumers to consistent and unlawful ‘heads I win, tails you lose’ pricing,”
A judge preliminarily approved the class action settlement on May 24, 2017. Starion Energy Inc and its subsidiaries continue to deny violating federal and state consumer protection laws. However, the companies agreed to the class action settlement to avoid the uncertainty of litigating the case.
What You Need To Know
Class counsel issued a press release that says eligible class members “include all individual residential and small business consumers enrolled in a Starion variable rate electric plan in connection with a property located in Connecticut, the District of Columbia, Delaware, Illinois, Maryland, Massachusetts, New Jersey, New York, Ohio or Pennsylvania from 2010 through May 24, 2017.” Eligible class members who want to opt out of the class action settlement or contest any part of the agreement have until October 23, 2017 to file the paperwork.
The amount of the potential award depends on the power Clarion Energy Inc customers used for each qualifying month. Eligible class members must submit the electric utility account number used for Starion energy Inc variable rate electricity supply services during the court mandated class action settlement period. Class members have until October 30, 2017 to file a valid claim form.
The judge presiding over the case Lydia Gruber v. Starion Energy Inc., et al., Case No. X03-HHD-CV-17-6075408-S, in the State of Connecticut Superior Court, Judicial District of Hartford has scheduled the final hearing on November 13, 2017. Learn about the agenda of the final hearing by visiting the class action settlement website www.VariableElectricSettlement.com. The class action settlement website includes the list of attorneys from Izard Kindall & Raabe LLP and Sandford Heisler Sharp LLP that form the class counsel. The defense counsel consists of Keith E. Smith and Charles A. Zdebski from Eckert Seamans Cherin & Mellott LLC.