Steve Rasch Quoted in Law360 on Ambit Energy Suit

“Ambit Energy’s Service Terms Undermine NJ Price Hike Suit”

A New Jersey federal judge has dismissed a proposed class action claiming Ambit Energy Holdings LLC jacked up customers’ rates after tricking the consumers into switching energy providers with promises of lower prices, ruling Ambit’s practices were clearly stated in its terms of service.

Ambit’s lawyer Steve Rasch of Thompson & Knight LLP told Law360 on Friday that the decision was straightforward and that the court merely enforced the terms of the contract.

“You’ve got a contract that provides for variable rates on electricity, and the contract expressly says that Ambit retains the discretion to adjust the rates, and that’s exactly what happened,” Rasch said. “The customer, of course, has the right to cancel the contract on 30 days’ notice, so the customer is not bound for any long period of time.”