Millions of businesses across the UK could be owed tens of thousands of pounds in compensation by energy companies.
Specialist London law firm Harcus Parker is bringing a claim against various energy suppliers on behalf of businesses.
The claims allege that secret commissions were paid by energy suppliers to brokers (or ‘third-party introducers’) when contracts for the supply of gas or electricity were arranged.
The failure of energy companies to tell their customers that they paid brokers these ‘bribes’ means that this money can now be claimed back by their customers, claimed Harcus Parker.
Over the past ten or so years, when energy supply contracts have been arranged or facilitated by a broker, a practice has developed whereby the supplier will pay a ‘commission’ – calculated as an uplift on the unit price of energy – to the customer’s broker.
If this commission is not disclosed to the customer, and if the customer does not give fully informed consent to it, then a claim in the tort of bribery arises and the customer is entitled to be paid a sum equal to the commission plus interest.
Further claims also be possible if the customer was led to expect that the broker would obtain the best price available in the market.
It is an essential feature of the claims that the potential claimants do not know what commissions they may have paid or the manner in which they have paid them, said Harcus Parker, adding that it is necessary as a preliminary step for the company to make enquiries of the supplier on behalf of potential claimants.
The claim will be administered collectively and in a cost- and time-efficient way, said Harcus Parker.
It is proposing to act on a ‘no-win, no-fee’ basis, so that no upfront payment will be requested.
Harcus Parker’s fee will be 33 percent plus a proportionate share of its out-of-pocket costs incurred in running the claim, plus VAT (if applicable).
The total fee payable will never be more than 35% plus VAT, which most businesses will be able to reclaim, said Harcus Parker. Offset against this will be any costs recovered from its opponents.
Commenting on the action, Retra CEO, Howard Saycell, said: “Retra has been approached by a company called Harcus Parker. They specialise in “group litigation.”
“Please read the article in detail. It is very possible that some members have paid undisclosed commissions to energy brokers. If that is the case, then they may well be entitled to compensation. Harcus Parker works on a commission basis and is very confident that it will win the legal case.
“If it lost the case, it is possible that some of the expenses would have to be covered by the claimants. If you wish to participate in the claim, please bear this potential liability in mind.”
The claim, if successful, will achieve two things: compensation for past overpayment of energy costs; and pressure to put a stop to the practice in future.
It is possible to sign up to the claim directly by using this link.
The law firm has already written to a number of energy suppliers, including British Gas, E.ON and SSE, on behalf of “several hundred” clients.
Small- and medium-sized businesses, schools, faith groups, charities, sports groups, care homes, local authorities and other community organisations are all said to have been targeted by the brokers who have allegedly added “large hidden” commissions to customers’ bills.
For more information, click here.
Specialist London law firm Harcus Parker is bringing a claim against various energy suppliers on behalf of businesses.
The claims allege that secret commissions were paid by energy suppliers to brokers (or ‘third-party introducers’) when contracts for the supply of gas or electricity were arranged.
The failure of energy companies to tell their customers that they paid brokers these ‘bribes’ means that this money can now be claimed back by their customers, claimed Harcus Parker.
Over the past ten or so years, when energy supply contracts have been arranged or facilitated by a broker, a practice has developed whereby the supplier will pay a ‘commission’ – calculated as an uplift on the unit price of energy – to the customer’s broker.
If this commission is not disclosed to the customer, and if the customer does not give fully informed consent to it, then a claim in the tort of bribery arises and the customer is entitled to be paid a sum equal to the commission plus interest.
Further claims also be possible if the customer was led to expect that the broker would obtain the best price available in the market.
It is an essential feature of the claims that the potential claimants do not know what commissions they may have paid or the manner in which they have paid them, said Harcus Parker, adding that it is necessary as a preliminary step for the company to make enquiries of the supplier on behalf of potential claimants.
The claim will be administered collectively and in a cost- and time-efficient way, said Harcus Parker.
It is proposing to act on a ‘no-win, no-fee’ basis, so that no upfront payment will be requested.
Harcus Parker’s fee will be 33 percent plus a proportionate share of its out-of-pocket costs incurred in running the claim, plus VAT (if applicable).
The total fee payable will never be more than 35% plus VAT, which most businesses will be able to reclaim, said Harcus Parker. Offset against this will be any costs recovered from its opponents.
Commenting on the action, Retra CEO, Howard Saycell, said: “Retra has been approached by a company called Harcus Parker. They specialise in “group litigation.”
“Please read the article in detail. It is very possible that some members have paid undisclosed commissions to energy brokers. If that is the case, then they may well be entitled to compensation. Harcus Parker works on a commission basis and is very confident that it will win the legal case.
“If it lost the case, it is possible that some of the expenses would have to be covered by the claimants. If you wish to participate in the claim, please bear this potential liability in mind.”
The claim, if successful, will achieve two things: compensation for past overpayment of energy costs; and pressure to put a stop to the practice in future. It is possible to sign up to the claim directly by using this link.
The law firm has already written to a number of energy suppliers, including British Gas, E.ON and SSE, on behalf of “several hundred” clients.
Small- and medium-sized businesses, schools, faith groups, charities, sports groups, care homes, local authorities and other community organisations are all said to have been targeted by the brokers who have allegedly added “large hidden” commissions to customers’ bills.
For more information, click here.
