In August 2014, a putative class action suit was brought against
Ambit Energy Holdings LLC, Ambit Texas, LLC, Ambit Northeast LLC,
and Ambit New York, LLC (collectively, "Ambit") in New
Jersey federal district court. Class representatives from New York
and New Jersey allege violations of those states' consumer
protection and business statutes, and seek class certification to
include an unknown number of Ambit customers across its footprint
in Connecticut, Delaware, Illinois, Massachusetts, Maryland, New
Hampshire, New Jersey, New York, Pennsylvania, Rhode Island,
Virginia, Texas, and Washington, D.C.
The crux of the allegations are that Ambit took advantage of
deregulation in the retail residential electricity markets in New
York, New Jersey, and other locations by luring customers and
enticing them into switching energy suppliers with bait-and-switch
tactics, and provided inadequate disclosure of factors impacting
the pricing of, and the notice of switch to, variable
