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OT changing propane suppliers

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farmall340

11-30-2004 14:15:29

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I just changed to a new supplier so they brought in their tank and hooked it all up. The old company now wants me to pay a termination fee of $50. The old company had their tank at the house when I bought it I never signed any paperwork of any kind or even recieved anything stating their policies. I figure if they want to charge me then I should charge them rent for every day the tank sits in my yard. What are your thoughts.

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Lincoln

12-02-2004 08:14:46

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Re: OT changing propane suppliers in reply to farmall340, 11-30-2004 14:15:29

We bought a tank from the supplier 25 years ago. They got a new manager and he said he couldn't find any paper work that said it was ours so it must be theirs. Even the old manager and the route driver told them it was ours. New manager still said it was theirs. I called them and told them to remove the tank and I'll get my gas somewhere else. Seems silly to loose a long time customer over a tank.

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BEN in KS

12-01-2004 06:10:21

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Re: OT changing propane suppliers in reply to farmall340, 11-30-2004 14:15:29

Around here, the big propane companies are sleazeballs. After learning this, I went to a local coop and bought a 1,000gal. tank they had been leasing out to a farmer to use for drying grain. I bought it for $500. The best money i ever spent. Now I get propane from a mom and pop supplier; he watches my tank, never lets it go dry, and has some of the best prices around. Sounds to me like the tank should be yours. You bought it with the place.

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Redmud

12-01-2004 03:27:55

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Re: OT changing propane suppliers in reply to farmall340, 11-30-2004 14:15:29

Farmall, Some Propane companies will tell you anything. If you want to get a little stink started, ask them to prove they own the tank. tell them they can't pick it up untill they do.
There are Propane companies that will run a bluff, and pickup a free tank now and then.
Redmud:

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Sid

11-30-2004 18:14:43

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Re: OT changing propane suppliers in reply to farmall340, 11-30-2004 14:15:29

Check with a local lawyers. I understand that abonded property laws apply to dealers that won"t pick up their tanks. They have so many days to pick it up or it is yours.

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kyhayman

11-30-2004 17:44:24

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Re: OT changing propane suppliers in reply to farmall340, 11-30-2004 14:15:29

I'd tell them you dont recall signing anything. If they will show you where you signed a contract to obligate you for the fee then you'll be happy to pay, otherwise, sorry about their luck.

I changed this year from a national chain to the local Co-op. Been pleased so far, they charged me for the line and blocks when they set the tank. $1.19 a gallon on prepay this year, no tank rent if I buy 600 a year or more.

I only heat with it, and its pulse gas so not sure what the deal is on pilot lights.

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kraigWY

11-30-2004 15:25:53

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Re: OT changing propane suppliers in reply to farmall340, 11-30-2004 14:15:29

My supplier sold out to a local Rancher/Oil Company. The new guy don't want to be involved in tank rental so he desides to sell the tanks to the customers, you pay what you can when you can. Whats more, is since we own the tanks we arn't limited on who we buy from. So now we buy propane based on the cheapest price. Keeps the other companies honest. Thompson, the new supplier told me if his prices arn't competivie he doesn't deserve to be in business. Capitalism is coming back.

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Nebraska Cowman

11-30-2004 15:13:31

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Re: OT changing propane suppliers in reply to farmall340, 11-30-2004 14:15:29

I doubt if they can charge you a termination fee if you never signed a contract with them. Tell them to come get their tank.
I was considering changing suppliers till I was told that there would be a $40 line test.( I own my tanks) Best with Propane to not rock the boat. Got a letter last year stating that if you ever run out of propane then they have to a line test and the supplier has to light the pilot lights.

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paul

11-30-2004 18:05:55

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Re: OT changing propane suppliers in reply to Nebraska Cowman, 11-30-2004 15:13:31

The local companies here that try to follow the rules are running into that with their insurance carrier. Seems there was a big accident somewhere 3 years ago, and so much of the increased price of LP is actually just covering the very high insurance policies. Plus the increased paperwork now involved, and doing these inspections and all.

Two of the coops I belong to have mentioned this, neither one has had a claim in the past 5 years, but the coverage has gone up 500% and still climbing. The 3rd coop didn't get into specifics, but thet changed into a coop insurance plan that is self-insuring for the huge increase in rates.

I don't use LP, seems like a much bigger deal these days than it used to be.

Hard to get self-owned tanks filled by anyone any more, from what I hear locally. Needs to be so inspected for each tankfull you spend more on that than on any savings from tank rental & sticking to one supplier.....

--->Paul

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TomR Ont.

11-30-2004 22:27:52

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Re: OT changing propane suppliers in reply to paul, 11-30-2004 18:05:55

Nebraska Cowman... The Insurance is killing a lot of things like school events, fairs, parades even craft sales in the mall; they want $1100.00 for a million in commercial liability insurance. I just heard this mall wants 3 million next year and some malls are thinking of 5 million.
Even the guy up the road selling fire wood on his property, if he doesn�t take out commercial liability they will cancel his house insurance policy if they cancel, then his mortgage co will be notified.
I would like to know how much the Insurance Companies DID NOT PAY OUT because of the clause in the event of Insurrection, Suicide, War, Riot, Terrorism ect. 911 comes to mind. They can tell us on the TV ads how many billion we steal from them in fraud, but they never tell us how many they steal from us in padded premiums. Then they want us to be their police and squeal on any who does. Sorry I got carried away from my original response�. I had the propane serviceman here yesterday, a little piece of dirt burnt out the glow ignition starter, he said the furnace should be cleaned once a year or my insurance wouldn�t cover a fire if I can�t prove service, so I said I�d do it myself, he said, then they would conclude in their investigation, I did something that caused it. How could the average guy fight that? Who really reads all the small print in the policy? where is the insurance?

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Davis In SC

12-01-2004 21:49:39

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Re: OT changing propane suppliers in reply to TomR Ont., 11-30-2004 22:27:52

Tom, you are right !!! Insurance & liabilty issues are killing the economy. To be honest, I am almost scared to even do anything anymore. All it takes is one lawsuit, (even if you win) to ruin a lifetime of hard work. Insurance is the largest bill I have, but one claim, & I will be dropped like a hot potato..... Regards, Davis

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Midwest redneck

12-01-2004 02:14:16

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Re: OT changing propane suppliers in reply to TomR Ont., 11-30-2004 22:27:52

I here ya, I have a Polaris 4 wheeler I use once in a while and I wanted a theft coverage policy on my homeowners insurance. The broad says that if I want theft coverage I also need to buy liability insurance too. ($300/year) give me a freakin break. I am the only one who drives it. Home insurance has gone up big time and car insurance is down right stupid. It is too bad that the average guy like me cant get a kickback from the insurance companys for good driveing skills, no accidents in 15 years and I still pay the same money or more. (of course I did have a claim for hitting that deer last month) first claim since 1988 I think.

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Paul in WI

11-30-2004 15:44:19

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Re: OT changing propane suppliers in reply to Nebraska Cowman, 11-30-2004 15:13:31

I changed propane companies last year. They informed me that the law req them to test all new installs, run outs and then every 5 years after that.

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Ray

11-30-2004 18:00:19

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Re: OT changing propane suppliers in reply to Paul in WI, 11-30-2004 15:44:19

I tried changing company"s but was told they couldn"t deliver gas untill I proved it was my 500 gallon tank.Dad bought it used 20 years ago,I can"t prove anything.

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John A.

11-30-2004 20:47:36

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Re: OT changing propane suppliers in reply to Ray, 11-30-2004 18:00:19

Ray, If your dad or mom are still with you. Draw up a document that states they have owned it since way back when. Go to a Notery, sign it and get it stamped and see if that will work for you. Just a thought.
Later,
John A.

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farmall340

11-30-2004 15:19:33

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Re: OT changing propane suppliers in reply to Nebraska Cowman, 11-30-2004 15:13:31

The new supplier trenched new line to the house for free up to 50` after that it was $2 per foot. Then he did a leak check and adjusted the burner on my water heater at no charge. First fill is only 85 cents per gallon then Im locked in at$1.29 for the rest of winter.

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Mike M

11-30-2004 17:12:45

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Re: OT changing propane suppliers in reply to farmall340, 11-30-2004 15:19:33

That sounds like a real good deal to me. I would tell the old supplier that you never signed on and you would really like them to remove their tank or you will start charging them rent.

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John (C-IL)

11-30-2004 17:52:30

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Re: OT changing propane suppliers in reply to Mike M, 11-30-2004 17:12:45

If you really want to twist their tail and you know that you never signed a lease agreement, tell them that you were told that you owned the tank when you bought the house and that you would be glad to sell it back to them at half the new price. When I worked for the propane company we watched house sales like a hawk. If the house was listed by a realtor we put the lease contract in the hands of the selling realtor and asked that the listing stated that the tank was leased. We never lost a tank and never had any misunderstandings.

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