Photo: Getty Images
California-based energy provider, Inspire Clean Energy, has been ordered to pay a $250,000 settlement for misleading Pennsylvania customers into service agreements. The settlement was announced by Pennsylvania Attorney General Michelle Henry, following an investigation into the company's practices.
The investigation revealed that Inspire representatives allegedly told consumers they were merely participating in a survey or signing up for a mailing list to receive information about clean energy, when in fact they were being enrolled in Inspire’s energy services. Some consumers were promised savings but then typically faced higher energy costs from Inspire. Other consumers reported that Inspire’s representatives told them they were affiliated with the government or with a different utility company and that Inspire representatives photographed consumers’ electric bills without consent.
“This settlement protects Pennsylvanians from being duped by Inspire representatives who try to sell service packages disguised as surveys and mailing lists,” Attorney General Henry said. “Any company that misleads Pennsylvania consumers about essential services, such as electricity, will be held accountable.”
The settlement requires Inspire to pay $250,000, with $150,000 going towards consumer restitution. The company is also required to make clear disclosures when contacting potential customers. The settlement mandates that Inspire obtain express informed consent from a consumer prior to enrolling the consumer in any of Inspire’s electric services, clearly disclose all material terms of Inspire’s services to consumers, and create and implement training and oversight reasonably necessary to ensure that its representatives comply with the settlement and with applicable consumer protection laws.
The settlement was filed in the Philadelphia County Court of Common Pleas and was overseen by Senior Deputy Attorney General Jim Wise.