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Customer Complaint Alleges REP Contract Violates State Business Code
“As a Texas-based utility supplier and a Texas located utility service address for the consumer, Texas contract law should apply. Under Texas Business and Commerce Code section 26.01, an “an agreement which is not to be performed within one year from the date of making the agreement” MUST BE “(1) in writing and (2) signed by the person to be charged with the promise or agreement….” (emphasis added). See Exhibit B.
The alleged contract with Energy Texas/Discount Power was to run for 36 months… a time that is longer than one year. The alleged contract is not able to be fully performed within one year. As such, Texas Business and Commerce Code Section 26.01(a) applies requiring the 3-year contract to be (1) in writing and (2) signed by both parties. No such written contract exists, and no such contract has been signed by either party. Without a binding contract, I, the consumer, was not bound by any of its alleged terms and was a mere day-to-day service customer.”
“No Contract – No Cancellation Fee”
“With no enforceable contract, the alleged agreement violates the “statute of frauds” as defined in the Texas Business and Commerce Code. Likewise, I am not bound to pay any alleged early termination fees as I never agreed to be bound to a 3-year/36-month contract. With no contract binding me to pay the fee, it cannot be assessed.”
“Relief Sought”
“I seek the cancellation, waiver, or non-assessment of the $500 early cancellation fee. Without a binding contract, I am not bound to pay such a fee. To assess such a fee without a written contract as required by Texas law perpetrates a fraud on Texas consumers.”
Complaint of Craig McClelland Against Discount Power (04/08/2025)
(Complaint Of Craig McClelland Against Discount Power)
