Dodgy energy broker! What are my rights?

OMR

If anyone can help me with some advice, I'd be most grateful.
I work for a church & a couple of weeks ago I had a cold call telling me our electricity contract was coming up for renewal & they were working with our supplier to review our account & ensure we'd get the best deal for the new contract. They offered contracts of 1, 2 or 3 yrs. I asked them to phone back a few days later as I needed to take advice on the figures.
When they phoned back, I asked them to clarify again what their relationship was with our current supplier, & they said that they were working with them, on our behalf.
I agreed to the 12 month contract at the given rate. I was still a bit uneasy, so I queried what the cooling-off period was. The caller said he didn't know anything about that, but my agreeing on the phone was a binding contract. I told him that there had to be a cooling-off period. For that reason, thinking that I had 7 or so days to back out, I agreed.
Last week, I had a phone call from another person in the same company, saying that I'd been given incorrect information by the previous caller; they offered no such thing as 12 month contracts. The shortest contract they offered is 17 months. He quoted me further figures, which weren't too different from the 12 months figures. Again, I queried their relationship with our current provider & was told that they work alongside them to get the best deal for us. I agreed to the 17month contract. He went through the whole legal spiel again.
Needless to say, through all these calls, I was led to understand that they were working with the full knowledge & authority of our current provider; this was some sort of service they provided to make sure we got the best deal.
Today, through the post, came a Letter Of Authority for us to sign. Something about the wording of this concerned me.
I phoned our provider & they said they'd never heard of this company & they didn't work for them.
I then phoned the company & told them I wanted not to proceed with the contract with immediate effect. The reply was, 'That's fine, we'll just send you a bill for the work we've completed on your behalf'. 'You haven't done any work on our behalf, I didn't call you, you called me! I won't pay it,' says I. 'Then we'll just take you to court.' Delightful.
Turns out, there are reviews online by other people who have been tricked by them already. They pretend to be offially linked with the current supplier & offer a better deal. This deal may actually be with a different supplier, either way, the broker takes a % of the value of any new contract.
I phoned our current supplier back & dug deeper. They admitted they DO know of this firm, they process contract changes arranged by them, but they were definitely not working with their authority or blessing! On the contrary.
So apart from the fact that they are deceitful & intending to mislead, I obviously now don't want to proceed with the contract.
So my question is; do I have a cooling off period for a contract like this? And if so, what do I say in my letter? There are 2 template letters I've found for cancelling contracts; does anyone have any idea which would be better? Or do you know of something better?
I'm guessing any cooling-off period will have begun from the time I agreed to the 17 month contract, which was 8th Feb, so if it's a 7 day CO period, I need to get my skates on. If 14 days, I have a bit longer.
https://www.citizensadvice.org.uk/consumer/template-letters/letters/cancelling-goods-or-services/letter-to-cancel-a-service-arranged-online-over-the-phone-or-by-mail-order/ or
http://www.which.co.uk/consumer-rights/letter/letter-to-cancel-a-contract-for-services-made-at-a-distance
Any advice would be much appreciated.
Sorry this is so long. There is more, but I've written too much aready. I'm really cross at someone doing this to a church.

wealdroam

OMR wrote: »

If anyone can help me with some advice, I'd be most grateful.
I work for a church & a couple of weeks ago I had a cold call telling me our electricity contract was coming up for renewal & they were working with our supplier to review our account & ensure we'd get the best deal for the new contract. They offered contracts of 1, 2 or 3 yrs. I asked them to phone back a few days later as I needed to take advice on the figures.
When they phoned back, I asked them to clarify again what their relationship was with our current supplier, & they said that they were working with them, on our behalf.
I agreed to the 12 month contract at the given rate. I was still a bit uneasy, so I queried what the cooling-off period was. The caller said he didn't know anything about that, but my agreeing on the phone was a binding contract. I told him that there had to be a cooling-off period. For that reason, thinking that I had 7 or so days to back out, I agreed.
Last week, I had a phone call from another person in the same company, saying that I'd been given incorrect information by the previous caller; they offered no such thing as 12 month contracts. The shortest contract they offered is 17 months. He quoted me further figures, which weren't too different from the 12 months figures. Again, I queried their relationship with our current provider & was told that they work alongside them to get the best deal for us. I agreed to the 17month contract. He went through the whole legal spiel again.
Needless to say, through all these calls, I was led to understand that they were working with the full knowledge & authority of our current provider; this was some sort of service they provided to make sure we got the best deal.
Today, through the post, came a Letter Of Authority for us to sign. Something about the wording of this concerned me.
I phoned our provider & they said they'd never heard of this company & they didn't work for them.
I then phoned the company & told them I wanted not to proceed with the contract with immediate effect. The reply was, 'That's fine, we'll just send you a bill for the work we've completed on your behalf'. 'You haven't done any work on our behalf, I didn't call you, you called me! I won't pay it,' says I. 'Then we'll just take you to court.' Delightful.
Turns out, there are reviews online by other people who have been tricked by them already. They pretend to be offially linked with the current supplier & offer a better deal. This deal may actually be with a different supplier, either way, the broker takes a % of the value of any new contract.
I phoned our current supplier back & dug deeper. They admitted they DO know of this firm, they process contract changes arranged by them, but they were definitely not working with their authority or blessing! On the contrary.
So apart from the fact that they are deceitful & intending to mislead, I obviously now don't want to proceed with the contract.
So my question is; do I have a cooling off period for a contract like this? And if so, what do I say in my letter? There are 2 template letters I've found for cancelling contracts; does anyone have any idea which would be better? Or do you know of something better?
I'm guessing any cooling-off period will have begun from the time I agreed to the 17 month contract, which was 8th Feb, so if it's a 7 day CO period, I need to get my skates on. If 14 days, I have a bit longer.
https://www.citizensadvice.org.uk/consumer/template-letters/letters/cancelling-goods-or-services/letter-to-cancel-a-service-arranged-online-over-the-phone-or-by-mail-order/ or
http://www.which.co.uk/consumer-rights/letter/letter-to-cancel-a-contract-for-services-made-at-a-distance
Any advice would be much appreciated.
Sorry this is so long. There is more, but I've written too much aready. I'm really cross at someone doing this to a church.

Either of those letters will do.

Note that the first sentence on that CAB page tells you you have 14 days to cancel.

Are you sure the twelve month contract was cancelled?

If you cancel the 17 month one, will they allege the 12 month one is in place?

Be aware. When did you agree the 12 month contract?

Fosterdog

As it's a church it is probably a business contract so you may not have any rights to cancel or certainly not without some form of penalty. If you are responsible for dealing with things like this on behalf of the church it really is your responsibility to understand the legalities of entering contracts on their behalf.

RoonilWazlib_2

The CCRs won't apply unless you are a consumer. I imagine you'd be classed as a business for contract purposes - do you get business or domestic rates on your energy?

OMR

Thanks guys. Yes, we're a business & I took advice from the church leadership on the terms they were offering before agreeing to the 12 month. Then the company came back to me & said that I'd been given wrong info. & the shortest they could offer was a 17 month. So I'm guessing that the one obviates the other.
Fosterdog I take your point, & I did it all through the proper channels, but we were working on the premise that we were dealing with someone authorised by our current energy supplier. That was what they were leading me to believe & wanted me to believe. The terms of the contract aren't bad, but it's the deceit that I strongly object to.
They are a broker; they seem to set up legit supplier changes & our supplier has dealt with them, but they do it by half truths & trickery. I'm thinking it might just be cheaper to let the 17 months run its course & learn from my stupidity rather than push it to court. But then THAT seems immoral as well; why should a contract obtained by trickery be allowed to run because it's too hard to cancel it? AARRGG. Thanks for your replies.

OMR

Also, can I name them on here to warn other people?

RoonilWazlib_2

I don't profess to be an expert on this but it might be worth speaking to Ofgem. I'm vaguely aware that depending on your usage you might be classed as a (I think they call it) micro business which may give you some route to cancel rather than having to serve full term. (60 days rings a bell - not ideal but better than nothing)


Might be worth investigating although I don't know any of the specifics that surround this.


May be someone on this board who knows more about it but possibly not as this is primarily Consumer advice board.


good luck




Up to you if you want to name them but yes you can if you wish

wealdroam

OMR wrote: »

Yes, we're a business...

Then please disregard my earlier response.

OMR

UCR Consultants
40 Regent Rd, Leicester LE1 6YJ 0116 326 0188

Not my favourite people right now. Google them & see the reviews other people have left. Wish I'd done that earlier.
Thanks for your advice guys.

hollydays

Perhaps post on their Facebook page?

CardinalWolsey

On the basis that you agreed to the 12 month contract, when they phone you back to say that they could no longer offer a 12 month contract, the shortest being 15 months, this would be a change to any contract that may be in place that would require both sides to agree to. You declined the change in terms. I'm no legal expert, but my view would be to call their bluff. It does sound similar to how parking companies threaten court action, to bully people in to paying, when in reality court will never happen.

If you are truly worried though, enforce the 12 month contract - after all, I assume you were happy with the rates being offered to have gone ahead with it?