(855) 584-3576
Why Class Actions Are Not Allowed in Solar Panel Lawsuits
If you’ve been searching for ways to take legal action against your solar panel lender or installer, you may have come across discussions about class-action lawsuits. Many frustrated homeowners turn to Facebook groups or online forums, asking, “Is there a class action lawsuit I can join?” Unfortunately, in most cases, the answer is no—and here’s why.
The Role of Arbitration Agreements
Most solar panel contracts include arbitration agreements, which prohibit homeowners from participating in class-action lawsuits. These agreements are a standard practice in contracts issued by solar panel companies and lenders. When you signed your contract, you likely agreed to resolve any disputes through arbitration rather than a court trial.
What Does This Mean for You?
You cannot file or join a class action - Arbitration agreements are legally binding, and courts typically enforce them.
Each case must be handled individually - This means that if you want to dispute your solar panel contract, you must file an individual arbitration claim rather than a group lawsuit.
Class actions often get dismissed - If someone attempts to file a class action, the defendants (solar companies and lenders) will file a motion to dismiss or a motion to compel arbitration, which will likely succeed.
Are There Any Exceptions?
There have been rare instances where companies, such as Lumio, faced class-action lawsuits. This only happened because they did not include arbitration agreements in their contracts. However, most major solar panel companies do include them, making class-action lawsuits nearly impossible.
How Homeowners Can Still Fight Back
Even though a traditional class action is not an option, homeowners still have legal strategies to challenge misleading solar panel contracts:
Mass Arbitration: Instead of a single lawsuit, multiple homeowners can file individual arbitration claims against the same company. If enough people take action, the sheer volume of cases can force the company to negotiate.
Consumer Protection Claims: Depending on your state's laws, you may be able to pursue legal action under consumer protection statutes that regulate deceptive business practices.
FTC Holder Rule Claims: If your solar panel purchase was financed through a loan, you might have a claim against your lender under the FTC Holder Rule, which allows you to assert the same legal defenses against the lender as you would against the seller.
State Attorney General Complaints: Filing complaints with your state's Attorney General's office or the Federal Trade Commission (FTC) can help bring regulatory scrutiny to deceptive solar sales practices.
The Bottom Line
While class-action lawsuits against solar panel companies are not allowed due to arbitration clauses, homeowners are not powerless. By taking legal action individually and coordinating with others in similar situations, you can put pressure on lenders and solar companies to take responsibility.
If you’re dealing with deceptive solar sales practices, misrepresentations, or a company that failed to honor its warranty, consulting with an attorney who specializes in solar panel lawsuits can help you determine the best path forward.
(855) 584-3576
Justice Made Affordable and Accessible
The Law Firm Solely Focused on Solar Panel Lawsuits
Neal Prevost, Trial Attorney With 31 Years of Experience
Our Results
What clients are saying
"Took Care of Everything"
I felt completely stuck when Encor went out of business, leaving me with an unfinished solar system that didn’t work, failed inspections, and a loan I still had to pay. On top of that, they misled me about tax credits and savings, and I ended up paying more in taxes and insurance instead. Prevost Law Firm stepped in and took care of everything. Their team handled my case with professionalism and compassion, and I’m so grateful for the outcome. If you're struggling with solar issues, you need to call them. (Cara J.)
"Exceeded My Expectations"
My experience with Encor Solar was a disaster. They installed a system that didn’t work, used an unlicensed subcontractor, voided my roof warranty, and lied about the need for batteries during power outages. When they went out of business, they left me with an unfinished system and no way to fix the mess they created. Prevost Law Firm was amazing—taking on my case and delivering results that exceeded my expectations. They are true advocates for homeowners, and I’m so grateful for their help. If you're facing a similar situation, I can’t recommend them enough! (John S.)
"Pleasure To Work With"
Would recommend 100%. Neal and his staff did an excellent job keeping me informed about the process every step of the way. He was able to get a settlement. He was a pleasure to deal with. (Gabrielle S.)
"Communicated Each Stage Clearly"
Working directly with Mr. Prevost was excellent. Having worked with several attorneys in several fields regarding general real estate matters, I was very pleased with my specific niche case against UCC-1 filings regarding solar liens. Mr. Prevost knew exactly how things would play out in handling the matter and communicated each stage clearly with me as to what I should do and what his team would need from me in the process. (Cody McDonald)
"Changed Our Lives
We can’t thank Prevost Law Firm enough for what they’ve done for us. My wife and I felt utterly defeated and trapped by the $73,590 loan for a solar panel system that never even worked. Encor, the installer, went out of business before the system passed inspection, but Solar Mosaic still demanded we pay for it. As disabled homeowners, we felt taken advantage of and didn’t know where to turn.
From the first phone call, their team made us feel like we weren’t alone in this fight. They listened to our story, fought tirelessly on our behalf, and never gave up until they got results. Thanks to them, our $73,590 loan was completely canceled, and we were refunded every single dollar of the $28,493 we had already paid into the loan. Best of all, we got to keep the solar panels for free!
When we got the news, we were overwhelmed with relief and gratitude. My stroke has already made life challenging enough, and this financial nightmare had only added more stress. Now, thanks to Prevost Law Firm, we can breathe again and finally focus on getting the panels working for us.
To anyone dealing with a solar panel loan disaster: don’t wait—call Prevost Law Firm. They are incredible, and they truly fight for people like us. We are so grateful we found them, and we hope others in similar situations will reach out for their help.
Bart and Diana Daniels
Feeling Lied To About Solar?
Millions of Americans have been duped into one-sided solar contracts. If you were misled when purchasing solar panels, you are not alone.
Is your solar contract costing you more money that it’s saving you? Did the solar salesperson misrepresent the savings or outright lie to get you sign up? Did you lose your warranty?
Our lawyers can help get you get justice.
No Cost
Claim-Review
As the nation's leading authority on solar panel legal matters, we have successfully helped numerous clients find relief from burdensome contracts.
Complete the form for a no cost case review and see how we can help you resolve your solar panel issues and regain peace of mind.
SOLAR LOAN CANCELATION
No-Cost Claim Review
Step 1 of 2
PO Box 6342 Mckinney, TX 75071
© 2024 Prevost Law Firm PC - ALL RIGHTS RESERVED | PRIVACY POLICY
Nothing herein is intended, and does not, create an attorney client relationship and is for informational purposes only. The Prevost law firm is licensed in Texas and is licensed to practice law in all Texas state courts and in multiple Federal Courts and Arbitration in 46 states. Solar sales are governed by both state and federal law. The attorney client relationship will only be created after the parties enter into a signed letter of representation.