HELP! Electric Co billing me for pre-BK bounced check

[chicagoannie]

The main reason I filed FAST was because my rat bastard electric company was going to shut off service. I had paid them 20% of my bill, cash, then when I called in the payment and requested a payment plan, they said fine...put down ANOTHER 20% or the power is off the next day.

I did not have even $5 of that 20% so I wrote them a bum check, to keep service on for the next day, while I hiked down to bankruptcy court and filed. I included the entire past due balance in my filing. They did not show up to dispute the fill amount at my 341.

So 2 days ago I get an electric bill for $373!!! I emailed ComEd's bankruptcy dept and let them know I expect a bill for current charges, post bankruptcy filing, which means service from 11-19-2010 onward. This is the reply I got:
[SIZE="4"][SIZE="3"][SIZE="2"][COLOR="navy"]

RE: OUTRAGEOUS BILL - post bankruptcy filing for Account # 059
...
From:
(removed by moderator)
...
View Contact
To: [email protected]


Cust.pdf (9KB)

Good afternoon-


ComEd believes theses charges to be post-petition electric usage. I have attached an activity statement for your review. Please note the returned check in the amount of $222.00, returned check fee of $15.00, and the bankruptcy deposit request of $115.00, together with post-petition electric service.

Thank you,

(removed by moderator)
Asst. Claims & Collection Counsel
Commonwealth Edison Company
3 Lincoln Center
Oakbrook Terrace, IL 60181

From: (removed by [email protected]]
Sent: Tuesday, December 28, 2010 10:12 PM
To: Legal – Collections ComEd
Subject: OUTRAGEOUS BILL - post bankruptcy filing for Account # 059

Dear ComEd Bankruptcy Group,

I filed Chapter 7 on 11-18-2010, case #........ I just received a Final Notice before Disconnection from ComEd, dated 12-21-2010 in the amount of $363.00 with a disconnection date of 1-3-2011.

There is NO WAY my electric bill from 11-19-2010 until 12-21-2010 when the bill was sent was this high. This is ridiculous. My bills are generally in the $60 range. Please know that I will NOT be paying this amount and I am requesting a CORRECT bill be sent to me, starting with the date I am responsible for my debts - 11-19-2010.

I am also filing a complaint with the ICC.

Sincerely,
(removed by moderat0r)

Please tell me they cannot bill be and charge me for usage prior to my BK, even tho I bounced them a check. ComEd was the reason I did an emergency filing! Advice?

[Flamingo]

You made the mistake of writing a check to pay the bill prior to the date of your filing. What you need to do is turn this over to your attorney. Hopefully you will not be charged for check fraud.

[chicagoannie]

Thanks for reply, Flamingo. I filed pro se. I have never intentionally bounced a check but ComEd had me SO panicked (no power meant food spoiling that I had no money to replace - with 4 kids to feed, it was a very serious concern.) If they come after me for check fraud, I'll have to pay it, I guess. I had already filed a complaint with the ICC who regulates IL utilities.

ComEd is playing hardball with folks - the winter moratorium for shut-offs began 12-1, so they were putting the screws to anyone with an outstanding balance in November. They should have put me on the payment plan after my initial 20% payment.

I do feel that the $222 should be included in the BK because it was for power usage well prior to my filing. We'll see what ComEd says. I sent them a very firm letter noting the entire past due was included in my bankruptcy and that included the returned check.

[chicagoannie]

Oh - and sorry about having the ComEd person's name in the post...I did not think to remove it - will do so in the future!

[tcreegan]

Hi chicagoannie,

...cutting electricity off in your neck of the woods is a serious matter this time of year!

Maybe these folks can help: http://www.citizensutilityboard.org/

Do you qualify for LIHEAP?

Good job filing the complaint w/ ICC. From what I saw on their website they can't cut you off if you pay the undisputed portion of the bill while the disputed portion is getting resolved. Also said you could pay what you did last year.

http://www.icc.illinois.gov/consumer/energy/rules.aspx

Good luck w. this, hope you can keep the lights on...

Tom in Colo

[despritfreya]

You need to become familiar with 11 U.S.C. 366. In part, it reads as follows:

(a) Except as provided in subsections (b). . . of this section, a utility may not alter, refuse, or discontinue service to, or discriminate against. . . the debtor solely on the basis of the commencement of a case under this title or that a debt owed. . . for services rendered before (filing bk) was not paid when due.

(BUT you need to look at the exception under (b))

(b) Such utility may alter, refuse or discontinue service if. . . the debtor, within 20 days after (filing bk) [fails to furnish] adequate assurance of payment, in the form of a deposit or other security, for service after (filing bk). . . For purposes of this subsection, the term ‘assurance of payment’ means -

(i) a cash deposit
(ii) a letter of credit
(iii) a certificate of deposit
(iv) a surety bond
(v) a prepayment of utility consumption; or
(vi) another form of security that is mutually agreed on between the utility and the debtor

You apparently did not contact the utility within the requisite 20 days. Approximately 30 days after filing the utility took it upon itself to enforce the requirements of 366 by demanding that you provide adequate assurance of future performance (payment of $373).

While the utility may be going about it the wrong way by using language that makes it seem it is attempting to collect on a pre petition debt, it has the right to demand assurances. The point of fact is that you wrote a $222.00 check knowing it was going to bounce. That alone is fraud, whether your realized it or not and clearly can give the utility justification for the amount it is demanding.

Since you did not take the initiative to contact the utility within 20 days I think you may be stuck. Remember, per 366 if you do not give assurances the utility can shut off the service.

Des.

[justbroke]

I concur with Des because I went through something similar, although I didn't write them a bad check. My case had to do with post-petition billing of pre-petition charges and continued threats -- and actual shutoff -- of electricity services for a pre-petition bill(s).

You can request a hearing to set the "adequate assurance" amount, but Des is spot on, of course, with the 11 USC 366 stuff as I've become very familiar with these.

[Flamingo]

Oh - and sorry about having the ComEd person's name in the post...I did not think to remove it - will do so in the future!

You also left your own email address in there which I removed...not a good thing to put in internet forum postings. Remember, when you post in here and post your email address, anyone searching for your ID or email address on the internet can see it. The mods normally remove personal information when they see it or it's brought to their attention.

[chicagoannie]

Thank you to all who responded. I did pay the $115 deposit - I knew I would receive the "deposit required" notice within 20 days after my filing, and it came with the new account number ComEd has assigned to me. I am still disputing the remainder of the pre-bankruptcy usage bill, which they tacked into my new post-bankruptcy account. We'll see how it goes, but the power is still on!

[justbroke]

I am still disputing the remainder of the pre-bankruptcy usage bill, which they tacked into my new post-bankruptcy account. We'll see how it goes, but the power is still on!

They specifically can't "tack on" pre-petition charges to your "post-petition" account. That is a violation. I would just say open an adversary proceeding (AP) by filing a complaint on a stay violation and dischargeability question. I know, it sounds easy, but opening an AP is not easy and is a lawsuit. However, it will probably get the results that you want.

However, the bounced check is an issue. If they are only billing you for the $220 pre-petition bounced check, then they may be entitled. The bad check is actually non-dischargeable, but the creditor -- the electric company -- would probably need to file a complaint to determine dischargeability or otherwise object to dischargeability of the debt. The only way to fix this is probably for them to file a complaint or objection, or for you to file a stay violation complaint to get a judge to adjudicate the issue.

I will add that you will probably end up in a fight over this since it continues to be billed and neither of you have taken action. Someone has to blink.