California Solar Exit, a solar contract cancellation consultancy, reported a significant increase in cancellation inquiries following the Chapter 11 bankruptcy filing of Freedom Forever, one of the largest residential solar installers in the U.S. The filing, made in April 2026 in the U.S. Bankruptcy Court for the District of Delaware, has impacted an estimated 190,000 installed systems nationwide. Freedom Forever controlled roughly 6.1% of the national residential solar market, the second-largest share behind Sunrun, according to Wood Mackenzie. Homeowners are now facing uncertainty about their contracts, warranties, and financing obligations.
Daniel Merritt, Senior Case Analyst at California Solar Exit, noted that the bankruptcy has triggered a wave of calls from homeowners with panels that were never activated, unresponsive service requests, and ongoing loan payments. “When a company the size of Freedom Forever goes into Chapter 11, the phone starts ringing,” Merritt said. “That combination is exactly what drives someone to look into solar cancellation as an option.”
Freedom Forever’s filing is the latest in a series of installer bankruptcies and closures reshaping California’s residential solar market, following similar events involving SunPower, Sunnova, Titan Solar Power, and ADT Solar. Industry researchers attribute the trend to rising interest rates, the phase-out of the federal residential solar tax credit under the Inflation Reduction Act, and California’s transition to Net Energy Metering (NEM 3.0), which reduced solar export credits and slowed demand.
California Solar Exit is helping homeowners understand which parts of their agreements are at risk. Equipment warranties from manufacturers like Enphase, Tesla, Q CELLS, and SolarEdge are typically separate from the installer and remain valid. However, workmanship and service warranties from the installer are often delayed or discharged in bankruptcy, while loan or lease payments continue. “Homeowners in that position deserve to understand their solar cancellation and dispute options before they assume there’s nothing they can do,” Merritt said.
The company advises homeowners not to stop payments without consulting a qualified attorney and to gather their original contract, financing documents, and correspondence with the installer. California Solar Exit offers free contract reviews and consults remotely with homeowners across the state, with active cases in Los Angeles County, Orange County, San Diego County, the Inland Empire, the Bay Area, and the Sacramento and Central Valley regions.
