People v. Wilco Energy Corp.
Appellate Division of New York
728 N.Y.S.2d 471 (2001)
Wilco Energy Corp. (defendant) sold home heating oil and offered about 143 customers a two-year fixed-price contract in October 1999. When oil prices spiked in January 2000 due to shortages, Wilco tried to raise prices on those fixed contracts. After customer complaints triggered a New York Attorney General investigation, Wilco reverted to the original contract prices and issued refunds, but the Attorney General (plaintiff) still sued for injunctive relief, restitution, civil penalties, and costs under New York's deceptive-practices law. Wilco moved to dismiss, arguing its conduct wasn't fraudulent or widespread and didn't violate New York law; the trial court dismissed the suit, and the Attorney General appealed.
Whether a company engages in an unlawful deceptive business practice by attempting to raise prices on fixed-price contracts with consumers.