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ONV LAW successfully represents two energy distribution companies in annulling total “clawback” payments of more than 1 M LEI

Bogdan Frigioiu_Associate_ONV LAW_2

Two Romanian entrepreneurial companies – distribution agents on the energy market – successfully obtained the annulment of total cumulated payments of more than 1 million lei (200.000 EUR). The two companies were represented by ONV LAW team: Mihai Voicu, Partner and leader of the Business Law practice and Bogdan Frigioiu, Associate Lawyer. 


The distribution companies (“agents”) activity consists in promoting energy services supplied by an energy provider and closing energy contracts with end customers, on behalf of the energy provider.


For the newly initiated contracts, the agents were remunerated with a fixed monthly commission. Every 3 months, the energy provider was contractually and legally obliged to maintain transparency and communicate the agent the number of effective activated contracts and calculate the commission difference that the agent would have to pay back (“clawback” payment, as per market definition). The contracts activation status was communicated late, thus reaching considerable amounts in time.


“Many of the distribution agents in the market were forced to close their business, due to similar circumstances. At the moment we are working on similar cases – the situation is not singular in the market,” states Bogdan Frigioiu, ONV LAW Associate.




For more details:

Bogdan Frigioiu, Associate: bogdanfrigioiu@onvlaw.ro

Mihai Voicu, Partner, mihaivoicu@onvlaw.ro