Did your solar company go bankrupt or just vanish? You are not alone. Maybe your install never started. Maybe panels sit unused on your roof. Maybe you still pay a loan for a system nobody will service.
A wave of bankruptcies among solar companies has hit U.S. homeowners. More than 100 U.S. solar companies have gone bankrupt or shut down since 2023, and some researchers estimate over 1 million American homes now have systems installed by a company that no longer exists. 2026 added new names to the list. Here is the hard part. Bankruptcy does not cancel your loan or contract. Your bills often keep coming.
This guide shows which firms failed and what kind of failure each experienced. Then it walks you through what to do next.
Solar Company Bankruptcies and Closures: At a Glance
The math behind the wave. Wood Mackenzie reported a 31% drop in U.S. residential solar installation volume in 2024, the first decline like it in seven years. Volume fell again in 2025. Analysts now project roughly a 20% contraction for 2026, on top of losses already booked. Higher interest rates, the loss of the federal 25D tax credit at the end of 2025, and weaker net metering rules in states like California all played a part.
Here is a quick look at solar company bankruptcies in 2026 and the years before it. Bankruptcy, closure, and market exit are not the same thing.
| Solar Company | Current Status | Date | Type | Main Markets | Customer Impact |
|---|---|---|---|---|---|
| Freedom Forever | Chapter 11, still running | April 2026 | Bankruptcy | 35+ states | Case ongoing; warranty terms unclear |
| Sunnova Energy | Chapter 11, sold off | June 2025 | Bankruptcy | Nationwide | Leases moved to new servicers, including SunStrong |
| SunPower | Chapter 11, wound down | August 2024 | Bankruptcy | Nationwide | Sold in pieces to Complete Solaria and others |
| Titan Solar Power | Closed, Chapter 7 | June 2024 | Bankruptcy (liquidation) | Many states | No firm left for service or warranty |
| Lumio | Sold to Zeo Energy | September 2024 | Bankruptcy | 16 to 37 states | Open projects taken over by Zeo Energy |
| Pink Energy | Shut down | October 2022 | Closure | Many states | No successor; FTC and state lawsuits followed |
| ADT Solar | Exited home solar | Early 2024 | Market exit | Many states | Branches closed; not a bankruptcy filing |
Solar Companies That Went Bankrupt or Closed in 2026
Freedom Forever Bankruptcy
Freedom Forever filed for Chapter 11 bankruptcy in April 2026, in Delaware. It had grown into one of the biggest home solar installers in the country. It had systems in 35 or more states.
Court filings list debts between $500 million and $1 billion. The filing affected roughly 190,000 installed systems and more than 3,600 employees. Earlier in 2026, the firm had left ten state markets. It also cut about 20% of its staff. That same month, Texas Attorney General Ken Paxton named the firm in a new push against alleged unfair solar sales.
Chapter 11 is not a shutdown. It reworks debt, not a full stop. Freedom Forever kept working through the case. Still, other recent solar failures, like Sunnova and SunPower, ended with assets sold off. If you hold a Freedom Forever contract, watch for official notices. Do not assume your workmanship warranty will continue.
Major Solar Companies That Failed Before 2026
These firms did not fail in 2026. But many homeowners still hold loans or warranties tied to them. That makes them part of any honest solar company bankruptcy list.
Sunnova Energy Bankruptcy
Sunnova filed Chapter 11 in June 2025. It was one of the largest solar lease and PPA firms. It served hundreds of thousands of homes. Sunnova sold off most of its assets rather than staying open. Many leases moved to new servicers, including one called SunStrong.
SunPower Bankruptcy
SunPower filed Chapter 11 in August 2024 and wound down. Its Blue Raven brand and dealer network were sold to Complete Solaria. This matters. A different, smaller firm now uses the SunPower name. An older warranty came from the original firm.
Titan Solar Power Closure
Titan Solar Power stopped operating in June 2024. It filed Chapter 7, meaning a full shutdown. About 150,000 households were left with no installer to call.
Lumio Bankruptcy
Lumio filed Chapter 11 in September 2024. Its assets, including open projects, were sold to Zeo Energy that November. Zeo Energy is the closest thing Lumio customers have to a new firm today.
Pink Energy and ADT Solar
Pink Energy, once Power Home Solar, shut down in October 2022, after an FTC lawsuit over alleged unfair sales. It has no clear follow-up firm.
ADT Solar left home solar in early 2024 and closed every branch. Reports call this a market exit, not a bankruptcy. Vision Solar, Sunworks, and iSun also scaled back or closed parts of their business.
What Happens to Homeowners When a Solar Company Goes Bankrupt
Here is what that looks like in practice.
What homeowners actually experience: In the weeks after a bankruptcy filing, most homeowners see the same pattern. Phone lines go unanswered. Online accounts stop updating. Monitoring apps may keep showing data since that often runs through a separate platform, but nobody is left to fix a fault code. Homeowners are usually not notified right away about who, if anyone, is taking over their contract. That notice can take weeks or months to arrive, if it arrives at all.
Some systems become “orphaned.” When no company takes over a bankrupt installer’s contracts, homeowners are left with what the industry calls an orphaned system: hardware that still works but has no installer of record. Third-party operations and maintenance companies have grown specifically to serve this group, offering service contracts to homeowners whose original installer is gone.
Is My Solar Company Bankrupt or Just Out of Business?
Not every closed solar firm filed for bankruptcy. The difference changes what you can do next.
Bankruptcy is a formal court process. A business closure can happen with no court filing, like ADT Solar and Pink Energy.
Chapter 7 means the company shuts down for good. Chapter 11 lets it keep running while it reworks its debt, though many solar cases end in a sale anyway.
Acquisition is often the best outcome for homeowners. Another firm buys the assets, and sometimes the contracts too.
To check a firm’s status, search its name on your local bankruptcy court website or PACER. Try your state attorney general’s office too.
What Happens to Your Solar Project When the Installer Closes?
Your equipment stays yours. Your loan or lease often stays in place. You will likely need a new firm for service. What comes next depends on your case.
Installation Never Started
Check if your deposit is refundable. Check if the lender paid the installer. Then look for a new local installer to finish the job.
Your Install Is Half Finished
Take photos of the work. Note any open permits. A licensed local contractor can inspect the existing work and, in many cases, finish an installation left incomplete by a bankrupt solar company.
Panels Installed but Not Turned On
Your system may still need a final inspection or utility sign-off, called Permission to Operate. Contact your city building office and your utility company.
Your System Is Working or Broken
A working system still needs monitoring now and then. If it breaks, start with the maker. Panel and inverter warranties often outlive the installer, even if labor is not covered.
Do You Still Have to Pay Your Solar Loan?
Yes, in most cases. The installer and the lender are almost always separate firms. Your loan is with the bank, not the installer, so the bankruptcy does not cancel it.
If your lender paid the installer in full, you likely still owe the loan. This holds even in a solar loan after a company bankruptcy case with half-done work. It feels unfair, but it is common.
Do not simply stop paying. Missed payments can hurt your credit and put your home at risk. Instead, contact your lender in writing and ask about hardship options.
What Happens to a Solar Lease or PPA After Bankruptcy?
Leases and PPAs are often sold to a new firm. This works much like a bank selling loans when it fails. You should get a formal transfer notice with a new firm name. If you never get one, contact the court contact listed in the case or your lender.
Can You Cancel a Solar Contract After a Bankruptcy?
Not automatically. Whether you can cancel a contract with a bankrupt solar company depends on a few things. These include your contract terms, how much work is done, and who owns the system. State laws vary too. Review your cancellation and warranty terms closely before you act.
Is Your Solar Warranty Still Valid After the Company Closes?
Often, partly. Maker warranties on panels and batteries often survive, since they come from a separate firm. Workmanship warranties from the installer are most likely to disappear.
| Warranty Type | Usually Provided By | What Closure May Affect | Who to Contact |
|---|---|---|---|
| Panel warranty | Maker | Usually still valid, but claims may take longer | Maker support line |
| Inverter or battery warranty | Maker | Part is often covered; labor may not be | Maker support line |
| Workmanship warranty | The installer | Often lost once the installer closes | New company, if any |
| Production guarantee | The installer | Often ends with the installer | Your lender |
A maker may replace a broken part. That does not always mean the labor to reinstall it is covered too. This gap surprises many homeowners.
What to Do If Your Solar Company Went Bankrupt
Work through these steps in order.
- Confirm the firm’s status through court records or news, not rumors.
- Find out who owns the system: you, a lender, or a leasing firm.
- Check your install status: not started, unfinished, not turned on, or fully working.
- Review your solar contract and loan papers on their own.
- Gather your documents before records get harder to find.
- Identify your panel, inverter, and battery makers.
- Check what warranty coverage may still apply.
- Contact your lender, new servicer, or a local installer for next steps.
Documents to Gather
Keep your solar contract, loan or lease papers, and deposit receipts. Also save payment history, warranty papers, serial numbers, permits, and photos of half-done work. These records help if you file a claim.
Warning Signs and Avoiding Cancellation Scams
Long delays, silent customer service, and stalled permits can point to solar company bankruptcy risks. None of these alone proves a firm will fail.
Be careful of anyone who promises your contract can be cancelled. Watch for offers to erase your loan, or a large, unclear fee upfront. Be wary if someone tells you to stop paying right away, before reviewing your agreement.
Need Help After Your Solar Installer Closed?
If your installer went bankrupt, closed, or left your project half-done, we can review your contract and loan with you. We cannot promise every contract can be cancelled. We can help you understand your solar bankruptcy consumer rights and your real options.
Frequently Asked Questions
What happens if my solar company goes bankrupt?
Your equipment stays yours. Your loan or lease often stays in effect. You will likely need a new firm for service and repairs.
Do I still pay my solar loan if the company goes bankrupt?
Yes, in most cases. Your loan is a separate deal with a lender, not the installer. Its bankruptcy does not cancel what you owe.
Can another company finish my solar installation?
Often yes. A licensed local installer can often inspect and finish a half-done system, once they review the work done.
Is my solar warranty still valid if the installer closes?
Maker warranties on panels and inverters often stay valid. The installer’s workmanship warranty is what you are most likely to lose.
Your Next Step
Your best move depends on your case. If installation never started, check your contract, deposit, and loan first. If your project sits half-done, take photos and find a local contractor to finish it.
If panels are up but not on, chase the permit and utility paperwork. If your system is broken, start with the maker’s warranty. If you still owe a loan, review that deal on its own.
These firms did not fail because solar stopped working. They failed from tight credit and high rates. Your system can still hold real value, once you know where you stand.
If you are unsure what your contract allows, Solar Cancellation Companies can walk through your case with you.