Energy Agent mis-sold contract with EDF -who now void contract, massive price hikes - Advice please!

Bernie_J

Hi There,

This is my first post so bear with me if I make any Faux Pa's (I have put this in the business forum assuming I may get told off if in the consumer area).

I'm a partner with my parents who are in their late 70's, in a family business. On 26th August last year, my Father signed up with Bionic to change our electricity supplier for the business to EDF and they put the 2 meters onto a 3 year fixed tariff (my folks live above the business so it's a mixed use property, but this was just for the business meters, the residential supplier they use went bust and has been moved to Shell I think?, another thing to sort!).

The e-mails from EDF said the 2 meters would go live from Nov 1st.. However one has yet to be billed as EDF say there were issues with the reading, but they confirm the fixed tariff will be used, but far more worryingly, the bills we have received on the other meter (for our night-store heaters) are showing as a "Deemed" (ie none fixed) rate and are at extortionate rates, as well publicised by Martin and the media (Standing charge of £2.50 a day instead of the fixed £17.60).

I have chased EDF and they have now replied to say that when Bionic set up the contract "The MPAN is for a standard meter and the contract has been submitted as off peak which means that the meter at the premise is a single rate meter but the contract had been submitted to us as a dual rate meter. Since this was incorrect, it would lead to incorrect bills and hence the old contract was cancelled and the deemed rates applied so that the supply remained with us" As far as i can see so far (I have only just taken this over from my Dad), this was done without any notification until our Bill arrived and we saw the massive inconsistency.

Bionic have admitted that it was their fault over the phone and that they will be in touch with the best rates currently to set up a new contract.

Obviously the difference in prices now in comparison to the 26th of August 2021 are huge and as a small family business of 3, they could become a financial worry. So my questions to anyone who can help are:

1) Is there a way to receive compensation for the extra cost we are likely to incur from this error working forwards, ie for the length of the contract we signed to, from Bionic?

2) Can I force either party to honour the fixed price agreed in the contract that we signed? (do we even have a contract as such with Bionic as they work on a Commission basis), or does the meter issue make the contract legally void? If we have no documentation to inform us of when they cancelled could this hold EDF to account?

3) Where can I get advice on our legal rights for something like this and which party should we be chasing (or would it be both)?

4) Are bionic working for us or for EDF? They receive their commission from our units throughout our contract with EDF so if they work "for" EDF , is it possible that It is EDF who will have to foot the bill and who need to take this up with Bionic rather than the other way round (I doubt this, but it would be a nice argument wouldn't it!)?

Thank you in advance for any help you can give!   

Jeremy535897

The answer will depend on a detailed legal analysis of the wording and timing of all the paperwork involved. It comes down to whether there is a breach of contract, and if there is, what the appropriate remedy is. You will need to take appropriate legal advice.

Thrugelmir

Business supply contracts are a totally different arena to that of residential consumer ones. People are deemed to be grown ups and fully understand what they are entering into when signing on the dotted line. Suggest you seek proper legal advice on the terms that have been signed up to.