Get Help with SolarCity Complaints

Your SolarCity Lawsuit Questions Answered

Having problems with SolarCity? If so, you might be looking for ways to get compensation. Maybe they haven’t held up their end of the deal, or their salesperson wouldn’t get you out of a contract. Now you want to know if you can sue. 

Below are some of the most common questions like these and more. 

Who is the CEO of SolarCity?

As of 2022, Deanna Nixon serves as the CEO of Tesla Energy, which took over SolarCity in 2016. 

Where is SolarCity headquarters?

SolarCity was headquartered in San Mateo, California. SolarCity is now part of Tesla, which is headquartered in Austin, Texas. 

Is SolarCity a legitimate company? 

Yes, SolarCity, which was purchased by Tesla Solar, is a legitimate company. However, legitimate companies can still make mistakes or have issues with the products and services they provide. If you have a problem with SolarCity, you can speak with an attorney to see whether you have grounds for a legal case for compensation.

Is SolarCity the most reliable solar company?

No. However, Tesla Solar, the company that took over SolarCity, is ranked the eighth most reliable solar company in the United States, according to Forbes. 

Who took over SolarCity? 

Tesla Solar took over SolarCity in 2016.

Is SolarCity part of Tesla Solar?

Yes, it is. Tesla converted it into Tesla Energy which has continued to offer solar panels. SolarCity was originally founded by the cousins of Elon Musk, and Musk sat on the board of directors for Tesla Solar and SolarCity. When SolarCity began experiencing financial issues and lawsuits, Musk invested in the company and acquired it. 

Does SolarCity still exist?

Technically yes, but in the form of Tesla Energy. SolarCity provides the differentiated solar solutions, while Tesla Energy provides Powerwall and Powerpack storage units. 

How do I contact SolarCity customer service?

If you were a SolarCity customer, you have to go through Tesla Solar for support, by choosing one of the following options:

  • Tesla Solar offers customer service through its app. 
  • You can also contact customer service through the chat function. 
  • You can submit a question online. 
  • If you already have an account, you can sign in and view contact details for your team. 
  • For Powerwall customer support, call 877 961 7652, Select option 2. 
  • You can also submit an Energy Service Request if you need installation help. You need your Account ID number for this, but if you don’t know it, you can call customer service at 877-798-3752 to get it. 

What laws apply to SolarCity?

There are several groups of laws that apply to SolarCity, which is now part of Tesla Solar, namely the Federal Trade Commission (FTC) regulations, safety standards, consumer financial protection laws, and state consumer protection laws. All of these are designed to protect you against unfair goods or services and unsafe business practices or services.

Federal Trade Commission Regulations

The Federal Trade Commission is responsible for interpreting and enforcing laws protecting you as a customer against harmful business products, abuse, financial fraud, or deception. When it comes to solar companies, they heavily regulate marketing practices to prevent false advertising and deceptive pricing. 

Safety Standards

Safety standards obviously apply to physical safety for all products and services provided by SolarCity, and these come in many forms, like the International Residential Code, International Fire Code, National Electric Code, and Interconnection Standards. 

Financial Protection Laws

Then there are the financial protection laws. A lot of solar installation agreements involve loans for the cost of installation and purchase. Laws like the Truth in Lending Act set requirements for what information must be provided to consumers and how. 

What laws apply to SolarCity door-to-door sales?

Door-to-door sales for solar panel installation by companies like SolarCity and Tesla Solar are governed by many Federal and state laws. Most of these laws are overseen by the FTC and state regulators.

The “Cooling Off” rule is perhaps the most important. With this rule, you are allowed three days from the time you sign an agreement to change your mind and cancel it. This rule applies no matter where you sign the agreement. If you signed the agreement inside your home with a door-to-door salesperson, you legally have to tell them that you know you have this right. 

If you sign an agreement in your home, it has to include the following information:

  • A “Notice of Cancellation” with all the blanks filled in;
  • The seller’s address;
  • The terms of payment are clearly stated; and
  • The correct date of sale.

If any of that information is missing or you change your mind about the contract, you can speak with an attorney about canceling.

How do I file a complaint against SolarCity?

You have many ways you can file a complaint against SolarCity, depending on what it is you are looking for and what your situation is:

  1. You can file a complaint with SolarCity directly. This is more likely to get you some sort of resolution or at least get your issue heard, and it gives you the opportunity to follow up with your complaint or case directly.
  2. You can go through your state and local licensing agencies to file a complaint against Solar City. This constitutes a legal complaint. This is based on where you live, and every state has different rules. Some states have follow-up services that may or may not get you a resolution but will at least ensure punitive actions are taken against the company where appropriate. 
  3. You can also file a legal complaint against SolarCity with your State Attorney General’s office. Every state is different in how they handle this. Some states have departments dedicated to following up with customer complaints about companies, while others do not. It doesn’t guarantee a resolution, but it is a formal, legal complaint.
  4. Another option is to submit a complaint against SolarCity to the BBB page. There are pages dedicated to the main headquarters as well as individual State operations, so you can choose the one that applies to you. If you are very lucky, the company might follow up with customers and give you a response, but this is no guarantee of any type of follow-up action. At best, it makes your issue known to other consumers or potential consumers.
  5. Alternatively, you can file a claim against SolarCity in court. There are different courts you have to use depending on your circumstances. This is something an attorney can help your review.

An attorney can go over your case details with you and help you determine which complaint type is best.

Why do people sue SolarCity?

People sue SolarCity, which was purchased by Tesla Solar, for a variety of reasons. Employees sue companies over bad business practices like termination agreements or overtime. Customers sue over things like solar panel defects, misrepresentation, or breach of contract.

In one example, a civil suit was filed by former employees stating that SolarCity made fake sales records to trick shareholders into believing the value of the company was higher than it was. 

If you have an issue with SolarCity, a lawyer can help you determine what legal options you have and whether you can sue. 

How do I sue SolarCity?

If you have an issue with SolarCity, you might be able to sue SolarCity (or their parent company Tesla). But what this process looks like will vary depending on your contract with SolarCity and what you were asking for in compensation. Your best resource here is to speak with an attorney who can go over your situation with you and give you legal advice.

Your contract and what you are seeking in compensation will determine how many options you have.

  1. One option is consumer arbitration. This is a legally binding alternative to going to court. You can still hire an attorney who represents you to sue SolarCity, but this gives you a chance to share your side of the story with a neutral, third-party arbitrator. After conferring with the other side, they make a final decision. This is a legally binding decision. This might be the only option you have, depending on the fine print of your contract.
  2. Another option is to sue SolarCity in small claims court. Small claims courts come with limits on how much you can ask for in the type of compensation you can get. It’s a good option for people who are suing over a specific dollar amount that falls underneath the state caps. There are limits in each state, and you’ll have to go over those limits to determine whether your case qualifies.
  3. You can sue SolarCity in your state or federal court. Which court you use is based on the laws you have an issue with. If, for example, you have an issue with a violation of federal law governing residential solar companies, then you might opt for a federal court. 

An attorney can help you determine which option is best given your issue, your contract, and what you want in compensation. 

Can a lawyer help me get compensation from SolarCity?

This depends on your circumstances. You’ll have to review your contract with SolarCity as well as the state laws where you live, something a lawyer can help you do. If you have grounds for a case and the company has broken the law or harmed you financially, a lawyer can help you pursue a claim and maximize your compensation.

Does SolarCity require arbitration?

Every contract can be different, so it’s up to you to look at the specific terms and agreements of your SolarCity agreement. You can work with an attorney to help you review your contract and determine whether arbitration is required. 

Are there class action lawsuits against SolarCity?

SolarCity was involved in several class action lawsuits by shareholders over its acquisition by Tesla. 

If you are eligible for a SolarCity class action lawsuit that is ongoing, the court will typically try to notify you through the mail with instructions on how you can verify your eligibility and proceed. 

Can I cancel SolarCity?

You might find it difficult to cancel your contract with SolarCity, now part of Tesla Solar, because cancellation policies vary so widely from one contract to the next. SolarCity has to abide by the FTC’s three-day “cooling off” period. There are a few other situations where you might be able to cancel your contract, such as:

  1. Your SolarCity contract has expired.
  2. You are willing to pay a cancellation or buyout fee required by your SolarCity contract.
  3. Situations where you can prove SolarCity has failed to meet its obligations as laid out in your contract. This might include failure to install solar panels within the time frame in your contract or failure to deliver services promised in your contract. 
  4. Situations where you had a guarantee (for system size, power generation, or warranty) that turned out to be inaccurate after installation. 
  5. Situations where SolarCity was required to disclose something to you but failed to do so (usually more applicable to cases where you take out a loan for your solar). 
  6. Catastrophic situations where your contract cannot be fulfilled, like natural disasters or other events that fall under the “force majeure” clause. 

An attorney can help you review what legal options you may have to cancel SolarCity based on your situation and your contract.

How do I get out of a SolarCity contract?

Even if SolarCity (now owned by Tesla) hasn’t broken its legal obligation to you, there are other ways to get out of or break your contract. 

  1. If you are selling your home, you might be able to transfer ownership of the SolarCity loan to the new buyer if they are willing to take it. 
  2. If you are going through bankruptcy proceedings, these might have an impact on your SolarCity contract.
  3. If you are able to, you might be able to a) purchase the solar system outright at the current market value or b) buy out your contract with a lump sum for the remaining loan amount. 

You can speak with an attorney about what options you have based on your situation and your contract with SolarCity. 

What happens if I don’t pay SolarCity?

Not paying SolarCity, which was purchased by Tesla Solar, can result in a different legal action based on the type of loan you have and whether you put up collateral. 

Secured Loans

Secured loans are secured (you promise to pay) with collateral (which is then taken by the lender if you can’t pay the loan amount). If you have any equity in your home, you might use a home equity line of credit or take out a home equity loan. Home equity loans get repaid in installments. Home equity lines of credit serve as revolving credit that you can reuse multiple times as long as you pay it back. If you don’t pay your secured loan, the company can take back the solar panels and any other equipment. If you continue not to pay, they can foreclose on whatever collateral you use.

Unsecured Loans 

Unsecured loans don’t have any type of collateral, but that doesn’t mean there isn’t follow-up legal action for non-payment. SolarCity can send your debt to a collection agency, report you to credit reporting agencies for non-payment, and potentially sue you personally for the remaining amount.

Will not paying SolarCity hurt my credit score?

Yes, if you don’t pay your SolarCity loan, it can hurt your credit score. 

When you take out a new debt of any kind, it gets reported to credit agencies. So do all of the payments associated with that debt. Generally with solar loans each time you make a payment on time, it lowers things like your debt-to-credit ratio and reflects positively on your credit score. But each time you make a late payment or fail to make a payment at all, it reflects poorly on your credit score. If you miss multiple payments in a row, your loan might be sent to a debt collector, which can significantly hurt your credit score.

If you have a SolarCity loan that is impacting your credit, you should know about your rights under laws, including the Fair Credit Reporting Act and the Fair Debt Collection Practices Act.

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