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New York man alleges Petro misrepresents pricing plan

By Robbie Hargett | Feb 27, 2016

TRENTON, N.J. (Legal Newsline) – A New York man is suing a home heating oil provider over claims it does not follow through on the terms of one of its pricing plans.

M. Norman Donnenfeld, individually and for all others similarly situated, filed a class-action lawsuit Feb. 18 in U.S. District Court for the District of New Jersey against Petro Home Services, Petro Holdings and Petro Inc., alleging violations of the New York General Business Law, false advertising, fraudulent concealment/nondisclosure, breach of contract, breach of good faith and fair dealing, unjust enrichment and violations of consumer protection laws in several other states.

Petro offers various pricing plans, including a variable plan, a fixed plan and a ceiling plan, the suit states.

The suit states that consumers who opt for the ceiling plan are advised that they will be able to take advantage of lower oil prices, as the price per gallon of oil would vary based on market conditions, but consumers allegedly would not be charged over a set limit. However, the suit states has an unstated practice of not reducing the per gallon price to consumers who have opted for the ceiling plan even when oil prices fall.

Instead, Petro allegedly charges ceiling plan consumers the top of the ceiling price per gallon regularly.

As a result, consumers do not receive any benefit from the ceiling plan, but they are charged an early termination fee if they try to cancel or switch their plan.

Donnenfeld and others in the class seek actual and statutory damages, injunctive relief, restitution, attorney fees and costs. They are represented by attorneys Bruce H. Nagel and Randee M. Matloff of Nagel Rice in Roseland, New Jersey.

U.S. District Court for the District of New Jersey Case number 2:16-CV-00882-JMV-JBC

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Nagel Rice LLP U.S. District Court for the District of New Jersey

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