What to Do If Your Installer Goes Out of Business
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What to Do If Your Installer Goes Out of Business
(A Technical & Legal-Aware Guide for Homeowners)
Over the last decade, thousands of homeowners across Indiana and the U.S. have invested in solar energy. Many did so through aggressive national installers such as Powerhome Solar (later Pink Energy) or smaller local outfits that have since shut their doors. If you’re left without support, you may feel stuck: Is my system even working? Who honors my warranty? What about my loan? Can I take legal action if I think I was scammed?
As experienced Indiana solar professionals who have also worked alongside attorneys on solar disputes, SolarCommission.Org wants to walk you through the practical steps to protect yourself and restore confidence in your investment.
1. Check if Your System is Actually Operating
Look at your inverter: Most residential systems have a display (or a monitoring app). Green lights, steady numbers, or daily kilowatt-hour production logs usually mean the system is generating. Red lights or fault codes mean something is wrong. Pay attention to error codes—these often point directly to the cause of underperformance.
Compare your bills: Examine not just the bottom-line cost but the kilowatt-hours purchased from the grid versus credited from solar. A solar professional can help you build a production-versus-consumption spreadsheet to see whether your system is offsetting usage as promised.
Independent inspection: Hire a qualified, licensed solar technician to test voltage, review inverter settings, and verify production. A technician will also check for shading changes, wiring issues, or tripped breakers that might silently cut production. This inspection creates a documented baseline that can be used for warranty or legal purposes. Contact SolarCommission.Org if you need a contractor recommendation. We can usually recommend one based on your equipment and location.
2. Contact Your Utility Company
Confirm interconnection: Call your utility’s interconnection department and make sure your system is officially on record. In some cases, installers failed to close out final approvals, leaving homeowners technically “off the books.” If this step was missed, you may not be legally interconnected.
Verify enrollment: Double‑check that you are properly enrolled in your utility’s net metering or Excess Distributed Generation (EDG) tariff (for IOUs in Indiana). REMCs and municipal utilities may have different credit structures. SolarCommission.Org can help you interpret the tariff and make sure your credits match your production.
Check your credits: Compare your inverter or monitoring data to the credits shown on your utility bill. A mismatch could mean a faulty meter, improper programming, or accounting errors. An experienced solar technician can run side‑by‑side calculations, review interval data if available, and identify whether you’re receiving the proper credit value..
These steps ensure your investment is correctly recognized by the utility, and that you’re capturing the full value of your solar production.
3. Understand Your Warranties
Even if your installer went under, manufacturer warranties often remain valid. Panels and inverters typically carry 10–25 year coverage. The catch: you typically need another authorized service provider to process claims.
Panel manufacturer: Check the label on the back of a module. Contact the manufacturer directly to see who handles service in your region or contact SolarCommission.Org for a recommendation. A solar professional can also verify whether your production loss meets the warranty threshold (usually 80–85% of original output after 20–25 years).
Inverter manufacturer: Brands like SolarEdge, Enphase, or SMA usually honor warranties regardless of installer status. A professional can file RMA claims, swap out failed units, and re‑commission your system to restore production.
4. Review Your Loan or Financing Agreement
Many homeowners financed their systems through third-party lenders. These loans remain enforceable even if the installer is gone.
Read your contract carefully. Determine whether it’s a secured or unsecured loan and whether any dealer fees were embedded in the principal. This affects your payoff timeline and total cost.
If performance promises were made: You may have grounds to challenge the lender if you were misled about savings. Some states recognize “lender liability” in consumer protection claims. Document what the salesperson promised versus what you actually received.
Do not stop paying unilaterally—this can damage your credit. Instead, consult an attorney before taking action. Some lawyers can negotiate with lenders, especially if there’s evidence of systemic misrepresentation.
5. Gather All Documentation
Collect and organize as much as possible:
Original contract and any change orders
Loan agreements and financing disclosures
Marketing materials, sales proposals, or emails promising specific savings or payback timelines
Utility bills (before and after installation)
Monitoring data or inverter logs (export these regularly so you have a record)
This evidence matters both for troubleshooting the system and for any potential legal claim. A well‑organized file can make the difference in how quickly a technician or attorney can act on your behalf.
6. Evaluate Potential Legal Options
If you believe you were misled or defrauded:
Consumer Protection Statutes: Many states, including Indiana, have laws prohibiting deceptive sales practices. Attorneys may pursue damages, contract rescission, or lender accountability under these laws.
Breach of Contract: If the installer promised maintenance, monitoring, or workmanship warranties that are no longer honored, you may be able to seek compensation. A clear inspection report can substantiate your claim.
Lender Involvement: In some cases, attorneys can pursue remedies against lenders who partnered with now-defunct solar companies. Some lenders have settled claims after state attorney generals intervened.
Important: This article does not provide legal advice. If you feel scammed, consult with an attorney experienced in consumer protection or solar energy contracts.
7. Restore Confidence Through Maintenance
Even without your original installer, you can keep your system productive:
Schedule periodic inspections: Every 1–2 years, have a professional check connections, torque terminals, update inverter firmware, and confirm array performance against expected models.
Clean your panels (if needed): Dust, pollen, bird droppings, and shading can reduce output. In Indiana, rainfall often handles this, but ground‑mounted systems or arrays near trees may need professional cleaning.
Consider a service contract: Some solar service companies now specialize in “orphaned” systems abandoned by bankrupt installers. They can provide annual check‑ups, emergency troubleshooting, and warranty claim management.
8. Know That You’re Not Alone
Tens of thousands of homeowners nationwide are in the same position. Utilities, lenders, and regulators are still catching up to the fallout of failed solar companies. The good news: most systems can be maintained, and legal recourse may be available if you were misled. Industry professionals like SolarCommission.Org are working to fill the service gap left behind.
Final Thoughts
If your solar installer has gone out of business, the worst step you can take is to do nothing. A proactive approach—verifying performance, documenting everything, and consulting technical and legal professionals—can protect your investment and restore the benefits of clean energy to your home.
If you’re in Indiana and need help with technical inspection, warranty navigation, or referrals to attorneys who understand solar contracts, feel free to reach out through SolarCommission.org. Our mission is simple: Powering Better Decisions for solar owners like you.
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