Representations about a specific travel offer (F/2004/288)

Mr R said that he had signed up to a dual fuel contract on the basis of receiving a specific travel offer, and had been told he would receive the benefits immediately after he signed the contract. When this didn’t happen Mr R contacted the retailer, to be told that he needed to contact his airline. He did so, and was advised that the retailer hadn’t submitted a request for application of the offer. Going back to the retailer, Mr R was told the offer application could not be processed until billing commenced.

The retailer told EWOV it couldn’t process the offer until Mr R’s electricity and gas accounts were both transferred to it. The offer related separately to each account and full application of it could take up to four months from the time Mr R signed his contract.

As it turned out, Mr R received the full benefit of the offer some seven months after the contract was signed. The retailer provided Mr R with an apology and, in recognition of the inconvenience caused to him, credited his account with $20.

Energy retailers’ sales representatives must understand the implications of making representations to customers which may not be able to be delivered.