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Ultility Bidder + PreAction breach of contract that never even started

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  • Ultility Bidder + PreAction breach of contract that never even started

    I was looking for a new gas supplier for my small business,I just moved in to a new small warehouse and was looking for a reasonable priced gas supplier for my gas/heating needs.
    My gas was being supplied by Britsh Gas, but I had no running energy contract with Britsh gas at all.

    As I did not know much about what was the best prices I search online, left my phone number into a energy comparasion website and in minutes I got a call from ULTILITY BIDDER

    They did quoted me a few energy prices and to be honest their prices were not bad, so I went ahed and used their services, I signed a LOA with Ultility Bidder that came together with a Letter of conditions.
    Ultility Bidder told me that they will arrange a gas contract for my small business with a company called VALDA. and I entered the contract with VALDA on the same day via Ultility Bidder.
    I then was informed that Valda will need to contact Britsh Gas (my current gas supplier that I had no contract with at the time ) to arrange the switch to Valda...

    The very next day of signed the contract with VALDA via Ultility Bidder, I though to myself: "Why havent I contacted Britsh gas and just signed the contract with this company I never heard of before?"
    So, I did contact Britsh Gas on the very next day, indeed Britsh Gas prices were a lot bettre than the prices Ultility Bidder have quoted and I had the recently signed contract with Valda.
    So, I called VALDA the next day and told Valda I was not going to follow up with them as I was going to be with Britsh Gas, Valda told me that I needed to contact Ultility Bidder.

    I did contact Ultility Bidder and told them I changed my mind, the switch to Valda from Britsh gas had not even started and I wanted to cancel the switch/contract.
    Ultility Bidder told me that I could not cancel the contractand I had to go ahead with Valda.
    I did argue that the contract had not started yet because the switch from Britsh Gas have not even started, but no sucess they told me that I could not cancel the contract and had to go with them.

    So, I called Britsh gas and signed a 3 years contract with Britsh gas and told Britsh gas that Valda was coming to ask for a switch and asked Britsh gas to not go ahead with the switch.
    So, after about 5 days, I got an email from Valda saying that BG had denied/refused the switch.

    Ultility Bidder did send me an emal on the next day telling me that the switch was to valda was denied by BG.
    I did ignore Ultility Bidder email because they told me that I had no way out of the contract, so there was no point to try to talk with them nor telling them I signed the contract with BG, so I ignired their email.
    A few days later I got another email from Valda again telling me that the switch request was again denied by BG, I assume that they tried for a second time to switch me from my new BG contract.

    A few days latter I had an email from Ultility Bidder saying the following :
    We are contacting you as our records show that whilst Utility Bidder arranged an energy supply contract for you that contract was not honoured (for the whole or part of the contract period).
    This renders you liable to make a payment to Utility Bidder. We have arranged for PreAction Limited, a resolution agency, to deal with this matter on our behalf.
    PreAction having been provided with the relevant information and documents will contact you shortly seeking to resolve this issue. We strongly advise you to engage with PreAction.
    Please note that as this matter is now in the hands of PreAction all contact in future should only be with PreAction unless you hear from us otherwise.


    Now I have to deal with this company called PreAction that wants to charge me £900 for the contract /energy supplier that never went live.
    Apparently I have 14 days to pay this amount...

    So, my quetion is:
    I am liable to pay the £900 to PreAction/Ultility Bidder for the breach of the contract?

    Please someone help me out here as I dont know what to do.
    I run a small business and £900 does make a difference for me.




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