A rose wholesaler lodged a class action lawsuit against Symmetry Energy Solutions, a natural gas company, Thursday claiming it engaged in price gouging during the Texas winter storm that slammed the area this February.
Lead plaintiff, Certified Roses, Inc, filed the nationwide class action lawsuit in Texas federal court. In it, the company accuses Symmetry of the rare sub-zero temperatures brought by the storm to assess excessive prices on its residential and commercial customers – more than 100,000 located in 30 states.
Indeed, the Texas winter storm created a number of challenges for energy producers and residents. Freezing temperatures increased demand for energy, while also cutting off supply. Energy companies were forced to purchase more expensive power and, in some cases, passed costs off to consumers.
Certified Roses says that it was hit with a bill for more than $233,000 from Symmetry for the natural gas services it needed to protect a reported $10 million in roses stocked at a Tyler-area warehouse during the storm. The plaintiff says that the natural gas company is trying to pass supply costs onto its customers when it was unable to meet demand during the storm.
Further, Certified Roses claims that Symmetry is attempting to pass on those costs in a deceptive manner. The plaintiff claims that the bill it received included a line item titled “Incremental Supply Costs” with a corresponding charge of $233,494.59.
Certified Roses’ contract with Symmetry does not reference the term, alleges the class action. When asked, the natural gas company could not provide further clarity, says the plaintiff.
The class action lawsuit alleges that Symmetry misled Certified Roses and other commercial and residential customers about the risks of purchasing natural gas from the company. Customers, alleges the plaintiff, were not told that the costs of purchasing excess gas to meet demand during a low supply emergency, such as the Texas winter storm, would be passed on to them.
Certified Roses contends that it and other consumers should not have to pay for Symmetry’s failure to have adequate natural gas available during high-demand periods.
“Rather than relay the truth and be transparent, Symmetry chose to downplay the plan’s risk at the expense of its customers,” alleges the lawsuit that accuses the natural gas company of violating the Texas Deceptive Trade Practices Act.
“While we generally do not comment on pending litigation, we believe this suit is entirely without merit and we look forward to vigorously defending Symmetry against these allegations,” a spokesperson for Symmetry Energy reportedly said in an email to Law360 Friday. Symmetry is facing legal action on other fronts in the aftermath of the Texas winter storm with a Missouri utility company reportedly claiming Symmetry and other energy suppliers undersupplied an area despite a cold snap in the weather forecast in a lawsuit filed in March.
Certified Roses is seeking to represent Symmetry customers across the country who were victims of price gouging after the Texas winter storm, along with a Texas subclass.
Were you hit with an outrageous natural gas bill in the wake of the 2021 Texas winter storm? We want to hear from you! Tell us about your experience in the comment section below.
The lead plaintiff is represented by Derek H. Potts, T. Micah Dortch, and J. Ryan Fowler of the Potts Law Firm LLP.
The Texas Winter Storm Natural Gas Price Gouging Class Action Lawsuit is Certified Roses, Inc., v. Symmetry Energy Solutions, Case No. 2:21-cv-00133, in the U.S. District Court for the Eastern District of Texas.
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