Residential Electricity Terms of Service Commonwealth Edison ( Utility ) The following Residential Electricity Terms of Service ( TOS ) will apply to residential customers who choose Champion Energy ( Champion ) as their retail electricity supplier ( RES ). The TOS and Letter of Authorization ( LOA ) collectively constitute your Customer agreement ( Agreement ) with Champion. Customer is required to read and understand this Agreement in its entirety prior to authorizing Champion to enroll Customer for residential electricity supply. Please retain a copy of this Agreement for your records. Agreement Effective Date: Customer Information: Customer Name: Residential/Service Address: Utility Account Number: Eligibility and Enrollment: Customer s eligibility for electricity is based on Customer representing and warranting to Champion that: (i) Customer s load profile classification qualifies both at the time of enrollment and during the term of this Agreement for residential electricity service and (ii) Customer has no outstanding, non- disputed charges with Utility at time of enrollment. Champion is a licensed and independent RES that is not representing or acting on behalf of Utility, Illinois Commerce Commission, Regional Transmission Operator, or other regulatory or governmental entities. Champion does not deny residential electric service or determine eligibility for pricing for electric service based on credit history, utility payment data or credit score. Additionally, Champion does not deny electric service, require prepayment or deposits based on a Customer s race, creed, color, age, national origin, ancestry, sex, marital status, lawful source of income, level of income, disability, familial status, economically distressed geographic location or qualification for low income or energy efficiency services. Customer information submitted as part of the application or enrollment process must be accurate and verifiable and if Champion determines that false, inaccurate or misleading information is or was provided by Customer during the enrollment process or subsequent to such enrollment, Champion may, in its sole discretion, terminate this Agreement. Upon receipt of complete, accurate, verifiable and Champion approved authorizations and account information, Champion will enroll Customer for electric service. Utility will, within one (1) business day of receiving the valid enrollment information from Champion, notify Customer in writing of the scheduled enrollment. Champion Energy, LLC Page 1 of 7
Rights of Rescission: (i) (ii) Enrollment Rescission: If Customer wishes to rescind its enrollment with Champion, Customer must notify either Utility or Champion within ten (10) calendar days after the electric utility processes the enrollment request. If the tenth calendar day falls on a non- business day, the rescission period will be extended through the next business day. The enrollment notice Customer receives from Utility will state the last day for making a request to rescind an enrollment and if Customer makes such a request within that timeframe the switch will be cancelled. In the event that the Customer provides such notice directly to the Utility, the Utility will notify Champion that Customer s enrollment is rescinded and the switch will be been cancelled. Customer may incur an early termination fee. Contract Rescission: If Customer wishes to rescind his/her contract with Champion; Customer must notify either Utility or Champion within ten (10) business days after the date of the first bill issued to the customer for products or services provided by the RES. In the event that the Customer provides such notice directly to the Utility, the Utility will notify Champion that Customer s contract has been rescinded. Customer may incur an early termination fee. Purchase, Sale and Supply: Customer agrees to the terms and conditions stated herein for the purchase of electricity from Champion for Customer s residence at the address designated herein. Champion agrees to sell Customer electricity at the price and for the Term mutually agreed upon herein. The electric Utility is responsible for the transmission and distribution of such electricity to Customer s residence and Customer therefore agrees to assist Champion with compiling the detail and documentation necessary for Utility to service Customer s residential account. Utility will respond for any emergency or service related calls made by Customer. Net Metering Program: To be considered eligible to participate in Champion s Net Metering Program (the Program ), residential customers must generate a portion or all of their own residential retail electricity requirements using energy generation equipment located on their premises. Additionally, the residential customer must have a meter capable of measuring the flow of electricity in both directions and the meter must be tested and calibrated by the Utility to assure accuracy prior to commencing services under this Program. When the residential customer s interval or hourly net usage results in a net flow of electricity from the customer to Champion, the customer will be credited for the electricity provide to Champion at the rate provided under the applicable service tariff. This Program is available to residential customers on a first come, first serve basis until the capacity of all participating generators is equal to the maximum Program limit of Champion s peak load supplied by Champion the preceding calendar year. Please contact Champion at 888.653.0087 or the Utility at at the number noted in the contact information section for additional details about available net metering programs in your residential area. Pricing and Billing: The price of electricity agreed upon by Champion and Customer is not regulated by the Illinois Commerce Commission or any other federal, state or local regulatory agency. Champion s price for residential electricity supply for the Term of this Agreement is: $ per kwh. This price does not include Utility related delivery service charges or applicable taxes and such will be assessed without mark- up and billed accordingly as a pass through charge to Customer. Champion will invoice Customer monthly for Customer s electricity usage at the price agreed upon herein. The invoice will detail Customer s actual electricity usage unless such actual usage from meter read data is not made Champion Energy, LLC Page 2 of 7
available by Utility in which case Champion may invoice Customer for estimated usage based on historical usage patterns. Upon receipt by Champion of the actual usage from Utility, Champion will reconcile Customer s account for each month Customer was invoiced based on estimated usage. Each invoice will indicate whether it is based on an estimated or an actual meter reading figure. Champion reserves the right to include such adjustments and recalculations of charges, including those due to meter read errors made by Utility, in subsequent invoices to Customers. Each Champion invoice will include the costs and charges for the supply of electricity, including ancillary, congestion, and scheduling services; taxes, assessments and pass through fees charged by Utility. Payment: Payment must be made in- full by Customer and received by Champion within twenty- three (23) days of invoice date. If payment is not received by Champion within two (2) days of the due date on the invoice, such payment will be considered late and a late fee of 1.5% will be assessed. Champion charges $25.00 for each returned check. Customer is responsible for all costs, including legal fees, associated with the collection of any outstanding balances. For low income customers or those on a budget payment plan a late fee will not be assessed. Payment Options: Champion accepts payment by check and bank draft at no charge. If you enroll in Champion s Automatic Bill Pay program, please continue to remit payment by check until your bill indicates your account has been enrolled in to the Automatic Bill Pay program. Payments made by check or bank draft are to be mailed to: Champion Energy, LLC P.O. Box 3115 Houston, Texas 77253-3115 Term and Renewal: Champion will begin to supply electricity to Customer under this Agreement on the next available Utility meter read date after Customer s enrollment is successfully achieved. The initial term (the Term ) of this Agreement shall be months from the effective start date. To obtain your effective start date please contact Champion at the Customer Care number provided herein. Champion will provide Customer with a notification of expiration of the initial Term and any renewal pricing and terms at least forty- five (45) days prior to the expiration of the Term of this Agreement but no more than ninety (90) days in advance of such date. If Customer does not provide Champion with an affirmative consent to the renewal terms offered by Champion, Customer will continue to be served under Champion s month- to- month default variable rate. Termination: Champion may terminate this Agreement upon five (5) days written notice being provided to Customer as a result of the following: (i) non- payment by Customer; (ii) false, inaccurate or misleading information being provided by Customer; (iii) changes in state, local, federal laws, ordinances, regulations, Regional Transmission Operator and/or Utility tariffs that adversely affect the performance of services under this Agreement; (iv) non- performance or default by Utility; (v) Force Majeure events including, acts of God, acts of governmental and regulatory entities, terrorists acts, labor disputes, strikes and other generation, transmission and distribution interruptions or delays that are not within Champion s control. The effective date of termination for any of the above will occur on the next applicable meter read date at which time Customer will be returned to Utility for electricity service. Customer is responsible for payment of all electricity and services received up to and including the effective date of termination. Champion Energy, LLC Page 3 of 7
Early Termination Fee: If Customer terminates this Agreement within the timeframe afforded Customer under its right of rescission, no early termination fees will be assessed. Although Customer will not be subject to early termination fees for terminating this Agreement in accordance with the above, Customer remains liable for all obligations, including payment for the electricity and related costs and charges incurred under this Agreement prior to termination. If, however, this Agreement is terminated by Champion due to Customer s non- payment or the receipt of false, inaccurate or misleading information, or if Customer terminates this Agreement prior to the agreed upon end of the Term but outside the timeframe afforded under Customer s right of rescission or cancelation ten (10) business days after the receipt of first invoice, Customer will be invoiced and responsible for an early termination fee. The early termination fee is $10 per month remaining in the Agreement at the time of early termination (Example, if a standard twelve (12) month Agreement is terminated after the initial six (6) months of service being provided by Champion, the early termination fee will be $60.00 which is $10.00 X the 6 months remaining in the Agreement term). If Customer is being served on a default product and switches to another supplier an early termination fee is not applicable. Deposits: Customer acknowledges that Champion will perform a credit check on Customer and may require a deposit during the application and enrollment process or during the Term of this Agreement. In addition to an unsatisfactory credit check, other events justifying a deposit at or during the enrollment process include a previous disconnection of electrical service for non- payment of residential bills, failure to pay a final bill owed or proof of prior tampering. Champion will provide Customer with notice of its intent to assess such a deposit within forty- five (45) days of receipt of a complete Customer application for electric service. Champion may require a deposit from a present Customer if Customer is: (i) late making a payment four times in the previous twelve months; (ii) the Customer s account has an undisputed past due balance that has remained unpaid for more thirty or more days past the invoice due date; or (iii) there is proof that Customer benefitted from tampering in the past. Champion will provide Customer with written notice of its intent to assess a deposit and such notice will include the reason or event that justifies the deposit, the amount of the deposit, payment requirements and both the refund and interest policy for the collected deposit. Champion may request that a minimum of ⅓ of the amount of a requested deposit be paid within twelve (12) days after the issue date of the notice and request for deposit. We must receive your initial deposit payment within 12 business days or your enrollment order will be canceled, and then you will need to re- apply to initiate service. Customer will be allowed at least two billing periods to pay the balance of the deposit. If final payment is not made by this date you will be dropped back to ComEd. If you would like to request payment arrangements for your deposit please contact Champion at 888.653.0087.The deposit will not exceed 1/6 of the estimated annual charges for the electricity supplied to that Customer at the residential address provided. Change of Residence: Customer is responsible for notifying both Champion and the Utility in writing within 45 days of a change in Customer s residential address. The Utility will perform a final meter read at the Customer s residential address and Customer s account will be considered closed once all obligations, including payment by Customer, have been finalized. If Customer moves to another residential address within a territory serviced by both the Utility and Champion, Customer may, upon successful enrollment, authorize Champion to service Customer s new residence. Assignment to Alternative RES: Champion reserves the right to assign this Agreement to an alternative RES upon providing Customer with fifteen (15) days prior written notice. Upon assignment, the rates, terms and conditions agreed upon herein will not be changed for the remainder of the Term under this Agreement unless Customer and the new RES mutually agree to change or modify such terms. The assignment must be made to a RES that is Champion Energy, LLC Page 4 of 7
in compliance with all Illinois Commerce Commission and Utility requirements and within thirty (30) days of the effective date of the assignment, the new RES must provide Customer with a toll free number for billing questions, disputes and complaints. Limitation of Liability: LIABILITIES NOT EXCUSED BY REASON OF FORCE MAJEURE OR OTHERWISE SHALL BE LIMITED TO DIRECT ACTUAL DAMAGES ONLY (WHICH WILL NOT EXCEED THE AMOUNT OF CUSTOMER S SINGLE LARGEST MONTHLY INVOICE DURING THE PRECEDING TWELVE MONTHS). SUCH DIRECT ACTUAL DAMAGES SHALL BE THE SOLE AND EXCLUSIVE REMEDY AND ALL OTHER REMEDIES AT LAW OR IN EQUITY ARE HEREBY WAIVED. IN NO EVENT SHALL CUSTOMER OR CHAMPION BE LIABLE FOR ANY PUNITIVE, INCIDENTAL, CONSEQUENTIAL, EXEMPLARY, INDIRECT, THIRD- PARTY CLAIMS OR OTHER DAMAGES WHETHER BASED ON CONTRACT, WARRANTY, TORT, NEGLIGENCE, STRICT LIABILITY OR OTHERWISE, OR FOR LOST PROFITS ARISING FROM A BREACH OF THIS AGREEMENT. CHAMPION WILL NOT BE LIABLE OR RESPONSIBLE FOR ANY LOSS, DAMAGE OR CLAIM ARISING FROM THE UTILITY S FAILURE TO DISTRIBUTE ELECTRICITY TO CUSTOMER. THERE ARE NO THIRD PARTY BENEFICIARIES TO THIS AGREEMENT. Representations and Warranties: Unless otherwise expressly set forth in this Agreement, Champion makes and Customer receives no representations or warranties, express or implied, statutory, or otherwise and Champion specifically disclaims any warranty of merchantability or fitness for a particular purpose. Force Majeure: Champion will make commercially reasonable efforts to supply electricity but does not guarantee a continuous supply of electricity. Customer acknowledges that certain causes and events outside of Champion s control ( Force Majeure events ) may result in interruptions in service for which Champion shall not be liable. Champion does not generate, transmit or distribute electricity. Therefore, Customer agrees that Champion shall not be liable for damages caused by Force Majeure events, including acts of God, acts of any governmental authority, acts of terrorists or enemies of the state, accidents, strikes, labor troubles, required maintenance work, inability to access the local distribution utility system, non- performance by the local distribution utility, or any cause beyond Champion s control, including but not limited to deficiencies in the operations of electricity generation, transmission, or distribution facilities. General Assignment; Assignment to Alternative RES: Customer may not assign this Agreement, in whole or part, or any of your rights or obligations hereunder, without prior consent from Champion; which shall be executed in writing by Champion, Customer, and any party to whom the Agreement is being assigned. Nothing in this Agreement shall create, or be construed as creating; any express or implied rights in any person or entity other than Champion and Customer. Customer hereby acknowledges and consents that Champion may freely pledge, assign, or subrogate all of its rights hereunder as Champion may deem necessary. In the event any other provision of this Agreement shall be deemed to prohibit or otherwise restrict Champion s right to assign, subrogate or pledge its rights hereunder, this provision shall control. Champion reserves the right to assign this Agreement to an alternative RES upon providing Customer with fifteen (15) days prior written notice. Upon assignment, the rates, terms and conditions agreed upon herein will not be changed for the remainder of the Term under this Agreement unless Customer and the new RES mutually agree to change or modify such terms. The assignment must be made to a RES that is in compliance with all Illinois Commerce Commission and Utility requirements and within thirty (30) days of the effective date of the assignment, the new RES must provide Customer with a toll free number for billing questions, disputes and complaints. Material Change in terms of Service: If at some future date there is a change in any law, rule, regulation or pricing structure, or there is a regulatory or judicial ruling or decision which may affect Champion s performance under this Agreement; or in the event that compliance with such change, ruling or decision shall result in a Champion Energy, LLC Page 5 of 7
material change in the way prices are calculated under this Agreement, Champion shall have the right to amend this Agreement upon providing Customer with 30 days prior written notice of any change taking effect. If Customer is not accepting of the material change in the terms of service, Customer must notify Champion in writing within 14 days of receipt of such notice and this Agreement will then terminate as of the next billing cycle. Customer is responsible for payment of all electricity and services received up to and including the effective date of termination. If Customer does not provide Champion with notice of disapproval of the material change prior to the change taking effect, Champion will continue to service Customer under the modified terms. Governing Law: This Agreement shall be construed under and shall be governed by the laws of the State of Illinois. Information Release Authorization: Customer authorizes Champion to obtain information from the Utility, including but not limited to, residential billing and payment history, historical and future electricity usage, meter readings and related electrical service data. Entire Agreement: This Agreement sets forth the entire agreement between the parties with respect to the terms and conditions of this transaction; any and all other agreements, understandings and representations by and between the parties with respect to the matters addressed herein are superseded by this Agreement. No amendment, modification or change herein shall be enforceable unless reduced to writing. Notwithstanding anything to the contrary, if any provision of this Agreement is deemed to be invalid, illegal or otherwise unenforceable, Customer and Champion agree that it shall be modified to the minimum extent necessary to render it valid, legal and enforceable. If any such provision cannot be modified in a manner that would make it valid, legal and enforceable, such provision shall be severed from this Agreement, and all other provisions hereof shall remain in full force and effect. Any failure on Champion s part at any time to enforce any term or condition of service or to exercise any right under this Agreement shall not be considered a waiver of Champion s right thereafter to enforce each and every such term and condition or to exercise such right or any other right under this Agreement. Contact Information: Champion Energy, LLC (RES): Address: 1500 Rankin Road, Suite 200 Houston, Texas 77073 Customer Care Number: 1.888.653.0087 E- mail: info@championenergyservices.com Certificate of Service Authority ICC Docket No. 10-0168 ComEd (Utility): For emergencies, outages, equipment service and utility related issues, please contact ComEd at 1.800.EDISON (1.800.334.7661) Illinois Commerce Commission s Consumer Services Division (ICC): Customers may reach the ICC between 8:30 AM and 5:00 PM, Monday through Friday by calling 1.800.524.0795, 1.217.782.2024 outside the State of Illinois, or TTY at 1.800.858.9277. If Customer issues are not resolved after discussion with the Utility, an informal complaint may be filed with the ICC by either (i) calling the number(s) provided above; (ii) online at Champion Energy, LLC Page 6 of 7
http://www.icc.illinois.gov/consumer/complaint/wizard.aspx; or (iii) by US Mail to Illinois Commerce Commission, 527 East Capitol Ave, Springfield, IL 62701. Champion Energy, LLC Page 7 of 7