OKLAHOMA CITY -- Three Oklahoma County consumers are seeking class-action status on a lawsuit that claims they have been overcharged for gasoline because it was stored at hotter than usual temperatures, said the Associated Press.
The lawsuit claims 13 retailers and oil companies kept gasoline at temperatures higher than the petroleum industry standard of 60 degrees Fahrenheit, causing the fuel to expand and provide less energy per gallon.
The sellers of hot motor fuel are able to pocket these billions of additional dollars in [image-nocss] temperature-inflated profits merely because the fuel they are selling is warmer than 60 degrees Fahrenheit, and customers are ignorant of the truth, the lawsuit claims.
Defendants in the lawsuit include 7-Eleven Inc., Albertson's LLC, ConocoPhillips Co., Shell Oil Co., Texaco Refining & Marketing Inc. and Wal-Mart Stores Inc.
Vance McSpadden, executive director of the Oklahoma Petroleum Marketers Association (OPMA), questioned the reasoning behind the lawsuit. He said gasoline is often stored underground in tanks that generally remain around 60 degrees. Storage tanks that are above ground are more susceptible to temperature changes, but McSpadden said the benefit consumers get from colder temperatures in the winter would offset the impact of warmer temperatures in the summer.
This is a feel-good deal for the consumer, but I don't think there's any basis to it at all, McSpadden said. If there is, it's very small. It's certainly not billions of dollars.
If the lawsuit were successful, McSpadden said it would likely cause gasoline prices to increase because retailers would have to install equipment to adjust the sales volume to account for temperature variances. That cost would likely be passed on to consumers, he said.
This isn't against the major oil companies, McSpadden said. The people who are going to have to spend money on this new equipment are individual retailers, generally independent businessmen.
The lawsuit seeking unspecified damages was filed by attorney Jona R. Hefner on behalf of plaintiffs Hadley Bower, Larry O. Bower, Kristy DeAnn Mott and Oklahoma City manufacturing company TEMCO. We spend a lot of money on gas, said TEMCO manager Russ Godfrey. Any penny we could save here or there would be nice since gas is so expensive now.
Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.