Understanding Equipment Ownership vs. Service Responsibility in Solar Agreements
May 18, 2026 No Comments
Read More » Take this quiz to see if you're eligible for cancellation.
Most residential solar agreements share three characteristics that bring them within the scope of consumer protection law: they are typically sold through in-home sales presentations, they involve long-term financial commitments of 15 to 25 years, and — in the case of solar loans — they involve consumer credit. Each of these characteristics triggers specific protections. The in- home sales context triggers the federal cooling-off framework and parallel state-law protections. The long-term commitment triggers state consumer protection statutes that apply to deceptive sales practices. Consumer credit triggers federal lending laws administered by the Consumer Financial Protection Bureau and parallel state lending laws. Whether any of these frameworks apply to a specific solar agreement is a question for a qualified attorney.
Several federal frameworks may apply to residential solar agreements. None applies in every situation, and whether any specific framework applies to a specific homeowner is determined by a qualified attorney based on the facts. The information below is general and educational.
The Federal Trade Commission’s Cooling-Off Rule generally provides a window during which a consumer may cancel certain contracts signed at their home or at a location other than the seller’s permanent place of business. The standard window is three business days. The rule includes specific notice requirements that the seller must follow at the time of sale, including the form of the cancellation notice, the disclosures that must be provided, and the way the consumer must be informed of the right to cancel. Whether the Cooling-Off Rule applies to a specific solar agreement — and whether the seller followed the required notice procedures — is a question for a qualified attorney. If the seller failed to provide proper notice of cancellation rights, the standard window may be reviewed differently. A qualified attorney may review whether any aspect of the Cooling-Off Rule may be a potential issue in a specific situation.
The Consumer Financial Protection Bureau is the federal agency that oversees consumer lending practices, including unfair, deceptive, or abusive practices by lenders. Solar finance companies fall within CFPB’s jurisdiction. CFPB has authority to examine consumer lenders, take enforcement action, and accept complaints from consumers. CFPB does not provide individual legal representation. CFPB receives consumer complaints, may investigate patterns of conduct, and publishes information about complaints it has received. Whether any conduct by a solar lender may have been a potential issue worth considering is a question for a qualified attorney.
The Truth in Lending Act is a federal law that requires lenders to disclose specific terms and costs of a consumer credit transaction in writing before the agreement is finalized. TILA disclosures include the amount financed, the finance charge, the annual percentage rate, the total of payments, and the payment schedule. For loans that are secured by an interest in the borrower’s primary dwelling, TILA may also provide a right to rescind the agreement within a specific window after closing. TILA applies to many solar loans. Whether it applies to a specific solar loan — and whether the lender provided complete and accurate disclosures — is a question for a qualified attorney. If required disclosures were missing, incomplete, or inaccurate, the standard rescission window may be reviewed differently. A qualified attorney may review whether any TILA considerations apply to a specific situation.
Filed for Chapter 11 bankruptcy protection in August 2024. SunPower was one of the largest residential solar installers in the United States, and the bankruptcy affected leases, loans, and Power Purchase Agreements held by tens of thousands of homeowners.
Filed for Chapter 11 bankruptcy protection in August 2024. SunPower was one of the largest residential solar installers in the United States, and the bankruptcy affected leases, loans, and Power Purchase Agreements held by tens of thousands of homeowners.
Filed for Chapter 11 bankruptcy protection in August 2024. SunPower was one of the largest residential solar installers in the United States, and the bankruptcy affected leases, loans, and Power Purchase Agreements held by tens of thousands of homeowners.
This page is updated as new closures and bankruptcies are reported. If your installer is not named above and has gone out of business, the same general framework still applies — a qualified attorney may review the specifics of your situation.
In addition to federal law, every state has consumer protection statutes that prohibit deceptive, unfair, and high-pressure sales practices. These laws are sometimes called Unfair and Deceptive Acts and Practices (UDAP) statutes, deceptive trade practices acts, or consumer legal remedies acts. The specifics vary substantially by state, and a qualified attorney licensed in the homeowner’s state is the appropriate party to review which state-level frameworks may apply.
Some state-specific examples include:
— the Consumer Legal Remedies Act (CLRA) and the Unfair Competition Law (Business & Professions Code Section 17200) prohibit a range of deceptive and unfair practices in consumer transactions.
— the Florida Deceptive and Unfair Trade Practices Act (FDUPTA) prohibits unfair methods of competition and deceptive acts or practices in trade or commerce.
— the Texas Deceptive Trade Practices Act (DTPA) provides consumers with protection against false, misleading, or deceptive business practices.
— every state has some version of a consumer protection statute. Several states also have solar-specific disclosure requirements that apply to residential solar contracts in addition to general consumer protection law.
SCRC operates on a fixed-fee model. Any fees that may apply are disclosed in writing before any commitment is made. The initial intake is free. You would know what fees apply before agreeing to anything, with no hourly billing and no surprise invoices.
Common Patterns Where Consumer Protection Frameworks May Be Relevant
SCRC follows a structured intake process. Each step is designed to gather complete information before connecting you with a qualified law firm. SCRC does not perform legal work at any stage.
You complete a short intake form that asks about your solar loan, the lender that holds it, the installer that designed and installed the equipment, what was described to you at the point of sale, and the issues you have experienced since. The intake takes approximately 60 seconds and there is no cost or obligation to submit your information.
If your initial intake suggests there may be matters worth a legal review, an SCRC specialist follows up to collect additional information. The homeowner provides their documentation — including the loan agreement, the installation contract, sales materials, communication records with both the installer and the lender, monthly loan statements, and electric bills from before and after installation. SCRC organizes the information you provide; SCRC does not analyze, audit, or interpret your loan agreement.
The information you provide is then forwarded to a qualified law firm, such as Consumer Advocacy Law Group. A qualified attorney may review your documentation and determine whether your loan situation may qualify for a potential legal review. Any decision about whether your situation has merit, what legal considerations may apply, and what next steps may be appropriate is made by the attorney — not by SCRC.
If a qualified attorney determines that your situation may be eligible for a legal review, the law firm communicates directly with you about next steps. From this point forward, the relationship is between the homeowner and the law firm. SCRC’s role is complete once the connection has been made.
SCRC operates on a fixed-fee model. Any fees that may apply are disclosed in writing before any commitment is made. The initial intake is free. You would know what fees apply before agreeing to anything, with no hourly billing and no surprise invoices.
Related Information
Most residential solar agreements involve in-home sales presentations and long-term financial commitments, both of which fall within the scope of federal and state consumer protection law. Whether any specific framework applies to a specific situation is a question for a qualified attorney based on the facts.
The FTC Cooling-Off Rule generally provides a window during which a consumer may cancel certain contracts signed at their home. The standard window is three business days, and the
rule includes specific notice requirements that the seller must follow. Whether the rule applies to a specific solar agreement — and whether the seller followed the required procedures — is a question for a qualified attorney.
The Truth in Lending Act is a federal law that requires lenders to disclose specific terms and costs of a consumer credit transaction in writing before the agreement is finalized. TILA applies to many solar loans. Whether it applies to a specific loan — and whether the lender provided complete and accurate disclosures — is a question for a qualified attorney.
The standard cooling-off window applies only at the time of sale and shortly afterward. Several other federal and state frameworks may apply to a solar agreement long after that window has passed. A qualified attorney may review which frameworks may be relevant to a specific situation regardless of how much time has passed since the original sale.
Yes. Filing a complaint with a federal or state consumer protection agency is an option available to any homeowner. The complaint process is described in more detail above. Filing a complaint does not require an attorney, but the agencies generally do not provide individual legal representation.
No. Filing a complaint with a consumer protection agency does not by itself change any existing payment obligation. The decision to stop making payments must only be considered under the advice and representation of a qualified attorney. SCRC does not provide guidance on payment decisions.
No. SCRC is a marketing and intake company. SCRC collects and organizes documentation that the homeowner provides, but legal review is performed by Consumer Advocacy Law Group under its own engagement terms. SCRC is not a law firm and does not provide legal advice.
No. The initial intake through SCRC is free. Any fees that may apply later — for example, fees associated with engagement by a qualified law firm — are disclosed in writing before any commitment is made.
No. SCRC does not guarantee any outcome. Whether your situation may qualify for a legal review — and the result of any review — is determined by a qualified law firm based on the specifics of your situation. Individual experiences vary.
Solar Cancellation Resource Center is a marketing and intake company. SCRC collects and
organizes the information you provide and forwards it to a qualified law firm for review.