KimberCrest Withdrawals Complaint against First Choice Power & Liberty

by Luke Johnson on November 16, 2012

KimberCrest filed a complaint against First Choice Power and Liberty Power to the Public Utility Commission of Texas on May 21 2012. The company owns apartments in Euless, Texas. After KimberCrest switch from Liberty to First Choice in August 2011 it was then hit with “slamming.” The company had requested to stop service from Liberty to switch to a lower rate with First Choice Power. Once the switch was perceived as final the KimberCrest went about it regular business. Liberty contacted KimberCrest clamming service had not stopped but by then it was too late.

First Choice Power sent a letter telling KimberCrest it had breached its obligations under MPSA. The letter also included a request for $22,176.03 to cover termination and the final bill. KimberCrest responded with a check for $4500 when advised by Mr. Tom Zacarro, First Choice Power’s attorney, to offer $5000. The check was returned on April 19, 2012.

In a letter to the Commission, KimberCrest ask for an investigation to resolve; slamming which occurred for 18 days; early termination fees; and termination of contract with First Choice. KimberCrest claimed it did not authorize the switch back to Liberty Power and should have been set up with Market Track rates.

The complaint was dropped by KimberCrest on November 13, 2012. It said they had come to terms and wishes to remove the complaint file to the Commission. One can only wonder what amount KimberCrest had to pay or if First Choice dropped the fees.

This is not the only time businesses have been hit with “slamming.” It has become a real problem. Business should always double check with providers to avoid unnecessary fees and charges. “Slamming” is just one way businesses could be left on the short end of the stick.

Luke Johnson

Luke Johnson has been writing about deregulated energy markets since early 2010. His knowledge has helped consumers lower their electricity cost. Connect with Luke on Google+.

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