SunStrong Contract Cancellation: How to Cancel or Dispute Your Solar Agreement

Josh Bajer

June 16, 2026

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If your solar agreement is now managed by SunStrong, you are not alone. Thousands of homeowners across the U.S. are asking the same questions: Can I cancel my SunStrong solar contract? What are my rights? What does it cost?

SunStrong Management took over hundreds of thousands of solar contracts after SunPower filed for bankruptcy in August 2024 and Sunnova filed for Chapter 11 in June 2025. Many homeowners had no say in this transfer. Now they are dealing with unresolved repairs, billing disputes, and poor communication and looking for a way out.

For independent guidance on your options, Solar Cancellation Companies provides a free resource hub and directory of reviewed specialists who handle exactly these types of transferred contract situations. 

What Is SunStrong Management and Why Do They Have Your Contract?

SunStrong​‍​‌‍​‍‌ Management LLC is a solar asset management company located in Texas. It was initially set up to buy and manage solar loan and lease portfolios that belonged to companies that went under. Today, SunStrong oversees more than 110,000 solar loan and lease systems in 33 states.

After SunPower filed for bankruptcy in 2024 followed by Sunnova in 2025, SunStrong came in as the new servicer of those contracts. The original contracts for your loan, lease, or power purchase agreement (PPA) did not change legally. Only the company that collects payments changed.

In June 2025, SunStrong arranged a $254 million securitization based on these solar loan portfolios. So, your loan payments have become linked to a financial product that has been sold to investors. This is relevant if you want to cancel or negotiate.

Connecticut Attorney General William Tong started a formal probe into SunStrong in February 2026, after hearing over 65 consumer complaints. Homeowners described getting no warranty support, requests for communication being ignored, and a $10 monthly monitoring fee that most claim was not part of their original contracts.

Chimicles Schwartz Kriner & Donaldson-Smith, the law firm, is looking into possible class action lawsuits against SunStrong for not honoring warranties and charging unauthorized ​‍​‌‍​‍‌fees.

Can You Cancel a SunStrong Solar Contract?

It depends on your contract type, project stage, and the grounds for cancellation.

Cancellation is not always straightforward, but it is possible in certain situations. Here is what affects your eligibility:

  •       Your contract type, loan, lease, or PPA each has different rules
  •       How far along the project is, pre-install vs. operational system
  •       Whether a cooling-off period applies in your state
  •       Whether SunStrong has breached any contract terms
  •       Your financing lender’s policies, which may be separate from SunStrong

Federal cooling-off rule: Under FTC regulations, you may have a 3-business-day right to cancel if the contract was signed at your home. This window is short and usually does not apply to contracts signed months or years ago.

FTC Holder Rule: Every consumer credit contract must include a notice making the current holder (SunStrong) subject to the same claims you could raise against the original seller. This is a key legal tool if you were misled during the sales process. You can review how solar cancellation laws in your state affect your specific rights before taking any action. 

Common Reasons Homeowners Seek SunStrong Contract Cancellation

Homeowner Concern Possible Next Step
System not working or underproducing Document with utility bills; file a dispute
Warranty not being honored Send written demand; contact state AG
Unexpected $10 monitoring fee added Dispute in writing; cite original contract
SunPower/Sunnova transition confusion Request full account records from SunStrong
Home sale being blocked Request transfer paperwork immediately
Billing errors or double charges File BBB complaint; escalate to state AG
Promised savings not materializing Compare projections to actual bills; document gap
No response to service requests Send certified letter; escalate to regulator

Your Rights at Different Project Stages

Stage Cancellation Difficulty Key Considerations
Before installation starts Easier Cooling-off period may apply; minimal costs
After permits submitted Moderate Permit costs may be charged back
After equipment ordered Harder Restocking and equipment fees likely
During installation Harder Partial labor costs may apply
After installation complete Difficult Full termination fees typically triggered
System fully operational Most difficult Remaining contract balance or buyout required

California note: Senate Bill 784 proposed extending cancellation windows to 5 business days (7 for seniors) for contracts signed on or after January 1, 2026. As of June 2026, SB 784 has not been signed into law. Check the California Legislative Information website for current status. 

SunStrong Contract Cancellation

How to Cancel a SunStrong Contract: Step by Step

Read your full agreement. Locate the cancellation clause, notice requirements, and any termination fee schedule.

Gather your records. Collect all bills, system performance data, email communications, and sales promises made to you.

Send a written cancellation notice. Address it to SunStrong Management by certified mail with a return receipt. Keep a copy.

Contact your financing lender separately. If your loan is through a third-party lender, they may require a separate cancellation process. Our Solar Exit Guides cover how lender-specific cancellation processes typically work. 

Document everything. Note dates, names, and outcomes of every call or email.

File a complaint if ignored. Contact your state Attorney General, the CFPB, or the BBB if SunStrong does not respond.

Consult a solar contract attorney. If SunStrong disputes your cancellation or applies fees you believe are wrong, legal advice can clarify your options.

SunStrong Contract Cancellation Checklist

  •       Copy of your original solar agreement (loan, lease, or PPA)
  •       All billing statements from SunStrong and the original company
  •       System performance reports showing actual vs. projected output
  •       Records of service requests, repairs requested, and responses received
  •       Sales documentation, including promises made verbally or in writing
  •       Correspondence with SunStrong (emails, letters, chat logs)
  •       Certified mail receipts for any notices you have sent
  •       Your lender’s contact information and account number

SunStrong Contract Termination Fees and Potential Costs

Most solar agreements include early termination fees (ETFs). These can range from a few hundred dollars to the full remaining balance of your loan or lease. Here is what to expect:

  •  Loan agreements: You may owe the full remaining principal plus any dealer fees not yet paid off
  •  Lease or PPA: Termination fees are often calculated as the present value of remaining payments
  •  Equipment and installation costs: If the system was installed, you may owe for materials and labor
  •  Permit and inspection fees: These are typically non-refundable once submitted

If SunStrong breached your contract, by failing to honor the warranty, not providing monitoring, or adding unauthorized fees, you may have grounds to dispute or offset those fees. Document every breach carefully.

What Happens If You Stop Paying SunStrong?

Some homeowners stop paying because their system is broken or because SunStrong has not fulfilled its obligations. This is understandable, but it carries real risks.

  • Credit damage: SunStrong has already reported missed payments to credit bureaus for some customers. One Connecticut homeowner reported losing 20 years of perfect credit after withholding payments on a non-functional system
  • Collection activity: SunStrong may refer your account to collections
  • Default notices: A formal default triggers additional legal rights for the servicer
  • Home sale complications: A lien on your property can delay or block a sale

Important: Even if your system is not working, stopping payment without a formal dispute in place puts you at legal risk. File a written dispute with SunStrong before withholding payment, and consult an attorney if you are considering this route.

How to Dispute a SunStrong Solar Contract

A dispute is different from a cancellation request. You are not necessarily ending the contract — you are challenging specific terms, charges, or failures to perform.

Common Grounds for Disputes

  •       System underproduction versus guaranteed output
  •       Unauthorized fees (such as the $10 monthly monitoring charge added by SunStrong)
  •       Warranty service not provided
  •       Misleading sales representations about savings
  •       Truth in Lending Act (TILA) violations, particularly around dealer fee disclosures

Escalation Options

  •       Send a formal dispute letter to SunStrong by certified mail
  •       File a complaint with your state Attorney General
  •       File with the Consumer Financial Protection Bureau (CFPB)
  •       File a complaint with the Better Business Bureau
  •       Contact your state’s Public Utilities Commission if the issue involves energy production

Understanding Arbitration Clauses in SunStrong Agreements

Most solar contracts include a mandatory arbitration clause. This means you agree to resolve disputes through a private arbitrator not a jury or judge in public court.

What this means for you:

  •       You likely cannot sue SunStrong in court unless a specific exception applies
  •       Many agreements also include class action waivers, which prevent you from joining a group lawsuit
  •       Arbitration is private, faster than court, but can favor the company with more resources

Class action note: Despite these waivers, the law firm CSKD is actively investigating potential class action claims against SunStrong. An attorney can tell you whether your specific agreement’s arbitration clause is enforceable under your state’s laws.

Selling a Home With a SunStrong Solar Agreement

Selling a home with an active solar agreement is one of the most common pain points homeowners report.

  • Loan agreements: The loan often stays with the home. The buyer must qualify for the loan transfer, or you must pay it off at closing
  • Lease or PPA: The buyer must agree to assume the contract. Not all buyers are willing to do this
  • Transfer delays: Multiple BBB complaints document SunStrong taking weeks or months to process transfer paperwork, causing home sales to fall through

Action step: Contact SunStrong’s title and escrow team as soon as you list your home. Start the transfer process early. Document every communication in writing.

State-Specific Considerations

California

California has some of the strongest consumer protections for solar contracts. The California Contractors State License Board (CSLB) oversees solar installers. You can file complaints with the CSLB and the California Department of Consumer Affairs. The FTC Holder Rule and California’s Unfair Competition Law (UCL) may provide additional grounds for dispute. Read our California solar cancellation laws Blog for a full breakdown. 

Texas

If​‍​‌‍​‍‌ you live in Texas and have issues with home products, you should reach out to the Consumer Protection Division of the Texas Attorney General. SunStrong’s main office is located in Austin, Texas. If the financing contains securities-like disclosures, complaints can be directed to the Texas State Securities Board.

Why State Laws Matter

Different states have different periods of countdown, rights to cancel, and ways of enforcing warranties. Therefore, it is a good practice to check the particular rules of your state before doing anything. You could hire a local solar contract lawyer who will be able to tell you which laws are protective to ​‍​‌‍​‍‌you.

 Frequently Asked Questions

What is the SunStrong cancellation fee?

SunStrong does not publish a standard cancellation fee. Your fee depends on your original contract. It could range from a flat early termination fee to the full remaining balance of your loan or lease. Check your agreement’s cancellation section.

Does SunStrong honor the original warranty?

This is disputed. Connecticut’s AG investigation found that SunStrong was failing to uphold warranties for many customers. Document all warranty requests in writing and escalate if they go unanswered.

What is the $10 monthly fee SunStrong is charging?

SunStrong began charging a $10/month cellular monitoring fee after the free cellular plan from SunPower and Sunnova expired. Many customers dispute this fee as unauthorized. You can connect your system to WiFi to avoid it, or dispute the charge in writing if it was not in your original contract.

Can I file a complaint against SunStrong?

Yes. File with your state Attorney General, the CFPB, the BBB, or your state’s utility commission. The Connecticut AG is already investigating. Other states may follow.

Is there a class action lawsuit against SunStrong?

As of June 2026, law firm CSKD is investigating potential class action claims for warranty failures and unauthorized fees. No class action has been certified yet, but the investigation is active.

Can I stop paying SunStrong if my system is broken?

Legally, stopping payment without a formal dispute in place carries credit and legal risks. File a written dispute first, document the system failure, and consult an attorney before withholding payments.

What Should You Do Next?

Your situation is unique. The right path depends on why you want out and where you are in the process.

If your system is not working: Document the failure thoroughly, send a formal written demand to SunStrong for repair or credit, and escalate to your state AG if ignored.

If you want to cancel: Read your contract’s cancellation clause first. Understand the fee exposure. Send a written notice via certified mail.

If SunStrong added unauthorized fees: Dispute in writing and file a complaint with your state AG and the CFPB. Reference your original contract terms.

If you are selling your home: Contact SunStrong immediately and start the transfer process before you list the property.

If you were misled during the sales process: The FTC Holder Rule and your state’s consumer protection laws may give you grounds to raise those claims against SunStrong as the current contract holder.

An experienced solar contract professional can review your agreement, identify your options, and help you avoid costly mistakes. Ready to take the first step? Contact Solar Cancellation Companies for a free no-obligation case review today.