Question from a reader:
I applied for electricity from Earth Infinity Co., Ltd. through an agency called BEYOND yesterday. Considering a cooling-off period, I made an inquiry call today. The company name that answered was different, but I was told that BEYOND is the same company. The explanatory document about the cooling-off period states that I should send a “notification of
withdrawal of application” to Earth Infinity. However, during the phone call, I was informed that since the final confirmation call from their side has not yet come, the contract has not been established. I was told that canceling over the phone would be fine, but when I asked if a withdrawal notification was necessary, I was told that since the agency has not yet sent the application details to Earth Infinity, it is not at the cooling-off stage, and processing it over the phone is acceptable. While I understood the explanation, I feel anxious about only having a phone conversation. I’m worried if this is okay as it is. Should I inform my current electricity company about the situation and request that they do not proceed with the switch since I have canceled the application? Additionally, I was informed that since I have a contract application with a company called Smart Support, I also need to contact Smart Life Co., Ltd. separately to cancel this. I plan to contact them on a business day, but I’m unsure if this will be a cancellation or a cooling-off. I apologize for the lengthy message, but I would appreciate your prompt response. Thank you very much.

About Cooling-Off and Cancellation Procedures for Electricity Contracts

Hello! Everyone tends to be really cautious when entering into contracts, right? Especially with electricity contracts, once you sign, it can become quite a hassle. Today, I would like to discuss “cooling-off” and “cancellation” based on an actual question I received, while also explaining it from a legal perspective.

What is Cooling-Off?

First, let’s clarify what cooling-off is. Cooling-off is a system that allows you to cancel a contract without any reason within a certain period for specific types of contracts. This is established from a consumer protection perspective and particularly applies to door-to-door sales, mail-order sales, and telephone solicitation sales. Electricity contracts may fall under this system, but not all contracts can be canceled through cooling-off. The person asking the question mentioned that they applied to a power company called Earth Infinity, but for a contract to be established, mutual consent is required. Therefore, if the contract details have not been finalized, it is possible that the contract has not yet been established. This is a very important point.

Is a Phone Cancellation Valid?

Now, regarding whether a cancellation over the phone is valid. It’s understandable to feel anxious about a conversation over the phone. Especially when told, “the contract has not yet been established,” it’s normal to worry, “Is it really okay?” However, if the other party has formally stated, “the contract has not been established,” then believing their words is the first step. On the other hand, I recommend sending a “notification of withdrawal of application” to Earth Infinity just to be safe. Having a written notification, in addition to a verbal confirmation over the phone, serves as evidence in case anything goes wrong. Legally, written notifications are considered stronger.

Is it Necessary to Contact the Current Electricity Company?

Regarding whether the person asking the question should contact their current electricity company, this is very important. By informing them about the phone conversation, the electricity company can avoid any potential trouble. Especially if the switching process is underway, it’s reassuring to contact them early and say, “I have canceled the application, so please do not proceed with the switch.”

About Smart Life Co., Ltd.

Furthermore, it seems that cancellation procedures for the company Smart Support are also necessary. Since you have already applied for a contract, it is essential to properly notify them of the cancellation. Again, having written confirmation would provide additional peace of mind. One point to be cautious about is whether the contract with Smart Life Co., Ltd. will fall under “cooling-off” or simply be a “cancellation.” Since cooling-off has conditions, depending on the contract details and application method, this procedure may not apply. If you are still uncertain, consulting a professional is a good option.

Advice from My Experience

To be honest, I have had a similar experience with an electricity contract once. One day, I received a call saying, “This plan is really great right now!” and I ended up applying. Looking back, I felt very anxious. At that time, I immediately contacted the company and said, “I want to cancel my application.” Of course, they assured me, “It’s okay, the contract has not been established yet,” but my anxiety did not go away. In the end, I decided to get written confirmation as well. That helped me avoid future troubles, so I highly recommend everyone to seek written confirmation.

Conclusion

Procedures related to contracts are very important. Especially contracts related to essential services like electricity must be handled with care. Make sure to understand the contents of cooling-off and cancellation and do not neglect necessary procedures. While it’s natural to feel anxious about phone conversations, it’s best to trust the other party’s words while also ensuring you confirm things yourself. If you still have lingering concerns, consulting a legal expert is also a viable option. I hope everyone can proceed with their contracts with peace of mind!