Utilities reconnection fee, admin fee class action lawsuit

Utility reconnection fees and admin fees: Who’s affected?

If your electricity, water or natural gas was disconnected after nonpayment and you were required to pay additional fees to have the service reconnected, you may be eligible to take part in a class action lawsuit investigation. Learn more about your options. 

Most people make monthly payments to utility companies to ensure they have access to electricity, natural gas and water. If someone is unable to make those monthly payments, those services are generally disconnected after a predetermined period of time. To have these utilities reconnected, homeowners and renters are charged additional fees such as late payment fees, admin fees, and reconnection fees.

These charges are largely punitive and are most often applied to individuals who are already struggling financially. For those people with lower income, these fees may prevent reconnection, exacerbating an already terrible situation.   

In addition, some utilities charge administrative fees each month that may be unfair and deceptive. This additional fee is a “junk fee” has little justification and amounts to an additional charge for electrical or gas service that consumers are already paying for.

Outdated billing practices 

Previously, reconnecting utility services was an extensive process. It required a technician to visit the property and physically manipulate the wiring of the home or rental unit, reconnecting the property to the electrical grid or the water supply. During this period of history, a reconnection fee made sense. It helped pay for the time and skill of the technician. 

However, times have changed. Modern grid infrastructure leverages smart metering and relay technologies. Integrated within metering systems, such devices permit utility providers to suspend or re-establish service from remote locations. This updated process eliminates the need for technician visits. It also makes reconnection fees and admin fees unnecessary. 

By continuing the practice of charging to reconnect utilities, these companies are being punitive and punishing people who cannot regularly pay their bill.  

Utilities reconnection fees and admin fees hurt people who are struggling

For numerous Americans, paying utility bills can prove difficult at times. Should an individual encounter financial hardship, they may be unable to cover monthly expenses, such as electricity, natural gas and water. 

If these individuals continue to struggle to pay their utility bills, they are likely to experience a disconnection of services. These individuals are already working exceptionally hard to pay the necessary bills. Charging additional fees to restore that service risks exacerbating an already challenging situation. 

What are utility company admin fees?

Utility company admin fees are junk fees often hidden among other fees charged on your utility bill. These fees are non-bypassable charges because you must pay them even if you are net-metered out by your home solar system. These fees are charged monthly, and they can really add up! Utility company admin fees can allow the company to pass off costs for running the company to consumers

In addition, some utilities charge administrative fees each month that may be unfair and deceptive. This additional fee is a “junk fee” has little justification and amounts to an additional charge for electrical or gas service that consumers are already paying for.

Which utility companies charge excessive reconnection fees and admin fees?

While many utility companies charge this type of junk fees, this class action lawsuit is currently focused on a select few, including:  

If your electric company charged a reconnection fee or admin fee and is not listed above, you’re still invited to fill out the form on this page. 

Fill out the form on this page to see if you qualify for a free case evaluation.