Ambit Energy's Service Terms Undermine NJ Price Hike Suit

Law360, New York (July 24, 2015, 5:00 PM EDT) -- A New Jersey federal judge has dismissed a proposed class action claiming Ambit Energy Holdings LLC jacked up customers' rates after tricking the consumers into switching energy providers with promises of lower prices, ruling Ambit's practices were clearly stated in its terms of service.

U.S. District Judge Michael A. Shipp said Wednesday that Michael Urbino’s contract with Ambit expressly allowed the company to change its rates, stipulated it was a third-party energy provider, and superseded any previous agreements or understandings between the parties, including Urbino’s claims that he was guaranteed energy savings that were not delivered.

Two of the seven counts...

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