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Hi I wonder if anyone could help me please? I am a very small business and currently struggling to stay afloat. At the beginning of November I could see on my gas bill from British Gas Lite my contract was due for renewal 18th January 2025 so I went online to find prices. Within minutes I had a phone call from Utility Bidder and after several phone calls and emails I agreed prices with them and signed a new contract. On January 16th 2025 I received an email from them asking me to phone urgently. I phoned the person I had been dealing with you told me I couldn't go ahead with my new contract as I was already in a new contract that I set up March 2024 with Bionic (the previous broker I used.) I knew nothing about this as I had no correspondence from Bionic to inform me I was being set up with a new contract. I then discovered I was set up with auto renew? Next thing I received a phone call from a company called Preaction Resolution demanding £750.00 plus VAT as my contract set up by Utility Bidder never went live. I did explain I do not have that kind of money and my small business wasn't making money and I am 73 years old and living off a pension. I have only really kept the doors open as I do not really want my staff to be out of work. I was in tears on the phone but they were adamant I had to pay the debt as I had signed the contract and it was stated in their T & C's and if I didn't pay they would take it to court. I am now receiving several phone calls a day from this company and it is making me quite poorly. Is there anything I can do?
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In my opinion (electricity buyer for a company no legal knowledge of the area) Utility Bidder should not have been able to set up a contract when there was an existing contract in place (the one which you say went live in March 24) unless it was for when the contract ended (presumably March 25) and would involve a provider shift. If it were me I would write to UB telling them their contract was never valid as there was an existing contract and they should have known this having done their required checks. Hopefully someone with some legal knowledge of the area will be along with their view soon. -
The contract end date was January 18th 2025 but I agree they surely should have known. I wouldn't have signed a new contract if I had knowledge of already being In a contract that I actually had no knowledge of.Comment
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I still think it was UBs job to establish if a new contract was in place with any company so my view of what I would do remains the sameComment
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It might be an idea to go through their Terms and Conditions, in their Terms and Conditions they state the £750 charge plus VAT for work done and their loss. The £750 plus VAT is stated regardless of the work carried out or the actual loss. 'Have you got an existing contract?', maybe that is the first question they should ask before providing their service, then you can double check if there is one in place. I'm sure domestic customers are asked that. Even though it's a B2B contract, their Terms and Conditions seem 'unfair'.
Make a Formal Complaint, follow the complaints procedure on their website.
Posted for information - https://www.pwclegal.be/en/news/impa...ts-on-gen.html
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This is the email I received from Utility Bidder after receiving a phone call from the lady I was dealing with who informed me I was already automatically renewed by my previous broker unaware to myself. I wouldn't have known until she informed me on the phone.
(On this occasion, we are very sorry to inform you that we are unable to help you with your Gas contract as you agreed another contract with British Gas Lite prior to the one you did with us.
Unfortunately, this has breached the terms and conditions as the contract has failed to go live so you may hear from our recovery team.)
As far as I was aware my contract was up for renewal on the 18th January 2025 and I signed the new contract with Utility Bidder on 9th December 2024 yet I wasn't informed by them until 16th January 2025 (by phone call) that I was already in a new contract.
I did very foolishly sign the documents for the contract with Utility Bidder not really understanding the T&C's but surely they should have been explained to me over the phone.
I now have their recovery team which is Preaction Resolution phoning me several times a day which is making me quite ill.Comment
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O.K., so you need to make a Formal Complaint, if they can tell you over the phone on the 16th January that there was an existing contract, then they could have told you when you first contacted them before the 9th January, but they 'didn't tell you'. Make your case to them.Originally posted by bagsybrookes View PostComment
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Thank youComment
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It might be an idea to check from Bionic when the auto renewal process was first activated.Originally posted by bagsybrookes View PostComment
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Apparently it was activated 26th March 2024.Comment
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This is the whole point - these companies KNOW you have a contract, know when it is coming to an end and then start to phone you to try to get you to switch. I have huge sympathy having just been caught out by auto renewal on travel insurance (fortunately for one of my kids not me and husband or I would be really out of pocket!). However it is the duty of the person trying to sell you a new deal to know if you are "free" to change provider. They have failed to do this. If I were in this position I would point this out to them in no uncertain terms and tell them I would not stand for any more of their nonsense,Comment
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