Signs of a Solar Panel Scam

• Too good to be true” price. The adage “if it seems too good to be true, it probably is” applies. Paying far below market cost or getting solar panels for free sounds great – but these “exceptional deals” almost always require the buyer to sign a long-term power agreement that can prevent the homeowner from selling the home without incurring a significant penalty.
• Door-to-door and seminar sales. Both types of sales are psychological sales approaches. At home, a potential buyer is relaxed and feels like the salesperson is an old friend. At a seminar, the speaker gets the entire audience riled up and excited about solar energy, hoping to cash in on the mob mentality philosophy.
• Promises and guarantees. If a salesperson tells you solar panels are guaranteed to pay for themselves or makes promises about future savings, it is likely a scam. Numerous factors can impact how much a consumer will save using solar energy, making promises and guarantees impossible to ethically make. Companies may also make it hard to file solar panel warranty claims.

Can I Get Out of a Solar Panel Contract?

If you have already signed a contract for solar panels and regretted it the moment the salesperson left, there is good news. In Georgia, a consumer has three business days to cancel certain types of contracts, including most solar panel contracts entered into at the consumer’s home or at a seminar. You may have longer to cancel the contract and/or be entitled to compensation if the solar panel company used fraudulent, misleading, or deceptive sales practices to entice you to sign the contract.

What Are Some Other Common Solar Panel Legal Disputes?

While solar panel fraud is a common reason for consumers to end up involved in a legal dispute, it is not the only reason. As a residential solar panel customer, you might also find yourself navigating these common legal disputes:

• Deceptive or Misleading Practices: Some solar energy companies mislead or outright lie to consumers about the performance or benefits of a system. They may exaggerate power output, promise savings that never materialize, or charge you for electricity that was never actually produced. There have even been reports of fabricated power readings, fake billing statements, and even continued billing after equipment fires. If your system does not perform as promised, or if you are charged for nonfunctioning equipment, you may be the victim of fraud, deception, or misleading business practices. The good news is that consumer protection laws exist that can protect you and that may allow you to recover money for damages.
• Roof Damage from Installation: Improper installation of solar equipment can lead to serious roof damage, including broken shingles, leaks, and structural issues. In some cases, the damage is severe enough to require a complete roof replacement. Solar companies and their installers are responsible for the quality of their work and most carry insurance that covers damage caused by negligent installation. For a consumer, this means that if the installation harmed your home, you may be able to recover the cost of repairs or replacement.
• Failure to Repair or Maintain Solar Panels: When you lease a solar panel system or pay monthly for solar power, the company often retains ownership of the equipment but agrees to maintain the equipment under the terms of the contract. Many of these agreements last for decades, but not all providers honor their commitments. Some companies stop responding, sell your account to another business, or go out of business entirely, leaving you with a malfunctioning system and higher utility bills. If your contract includes a repair or maintenance obligation, or if the company made such promises in advertisements, you may have warranty rights that provide you with legal rights and options. If your system stopped working or underperformed and you ended up paying for electricity that was never generated, you may even be entitled to compensation.
• Unfair Debt Collection: In some cases, solar companies or their collection agents attempt to collect debts that are inaccurate or entirely fabricated. Aggressive phone calls, threats, unexplained fees, and false promises to restore or repair service are just a few of the tactics used to collect these “debts.”  Under the federal Fair Debt Collection Practices Act (FDCPA), consumers are protected from harassment and unlawful collection tactics. Many states have additional laws that go even further toward protecting consumers from these practices. If a collector has violated your rights, you may be entitled to compensation, including up to $1,000 in statutory damages under the FDCPA just for proving that your rights were violated.
• Forced Arbitration: Making matters worse for consumers is that fact that many solar panel contracts include arbitration clauses that limit your right to take the company to court. If you have a legal dispute, you may be required to bring your claim before a private arbitrator. While arbitration can move faster than traditional litigation, it is still a complex process, and consumers rarely succeed without legal representation. With extensive experience handling solar power arbitration claims, our attorneys can review your contract, help you understand your options, and represent you in arbitration or court to ensure that your rights are protected and the company is held accountable.

Speak to an Experienced Georgia Solar Panel Attorney Today

If you are concerned about the solar panel contract you signed, contact an experienced Georgia solar power attorney to discuss your legal options by calling 678-882-0830.