Ambit Energy Lp — Fraud and breach of covenant of good faith
On Thursday February 5, 2015 at 7 PM, I attended a meeting along with my girlfriend at a restaurant to discuss a business opportunity involving the retail sale of electricity. The person who invited us told us very little about the business. She only stated it involved selling electricity and she promised us each $25 and purchased our dinner for coming. Then came the sales pitch. The meeting was attended by myself, my girlfriend, 3 consultants from ambit and one consultant brought his 16 year old daughter because he wanted her to hear the presentation so as to get involved in the future. The woman doing the presentation showed me a copy of success magazine and said we could get rich. The presentation which lasted about 20 minutes revolved around making lots of money by gathering as many friends and family as possible to sign them up as consultants and customers. The 3 consultants kept talking about working as a team. All 3 consultants encouraged us to join in a high pressure fashion. It was very high pressure team sales. When I said no thanks, they got a sheriff on speaker phone who himself is making around $10000 a month as a consultant. Then HE pressured us. One consultant was a long time friend of my girlfriends family. She insisted we join. They waived the normal $427 entry fee. This woman was so excited, she gave her credit card to the woman who signed her up and paid $27 for me and $27 for my girlfriend to sign us up. I had no interest in paying a dime to join as it seemed fishy to me. She told us to try it free for 6 months. We were told also that we would receive reward points and a free vacation if we sign up as customers also. At this point they STILL had not told us the details of selling electricity. ALL 3 of these consultants told us to bring a handful of people back for a meeting on Monday February 9, 2015 at a restaurant. They all agreed that we should bring people there to sign them up in the same manner we were signed up. They told us not to tell anyone why they were coming. They asked us to blindside our friends and family into a high pressure sales pitch. I am aware upon doing my own due dilligence that they supply electricity at a monthly variable rate. I've spoken to several people who feel they have been ripped off by purchasing electricity through ambit. This experience was one of the most high pressured sales schemes I've ever faced. I feel terrible for the woman who was duped into paying $429 to join, $27 a month for her website, $27/month for MY website(this woman only new me less than an hour and she PAID for me) and $27/month for my girlfriends website. She is clearly being ripped off.
The few days following the meeting, we received several phone calls from these consultants. One of them wanted us to talk to the cop again after I again told them that I didn't want to be involved. They will not take no for an answer. They scheduled a meeting for Monday and we are not going. They're pushing us to gather people and we haven't even received the starter kit yet. They sent me 3 emails that I find legally questionable as their sales technique involves blindsiding the prospective consultants and customers. The 3 consultants said we should always try to sign people up as consultants. If that fails, sign them as customers. There is a very short form for this. Name, address, billing acct number and promise them they'll save at least 2%. From my experience as a business major in college coupled with my research in this area,
THIS LOOKS LIKE A PYRAMID SCEME USING ENERGY SALES AS A FRONT.
I am very angry that these people use these ILEGAL SALES TEQNIQUES. I hope the FTC investigates this company as they are also the defendants in a large class action suit for Breech of covenant of good faith and fair dealing, violation of New Jersey consumer fraud act, and unjust enrichment. Please feel free to contact me for more information.