Will the more than 150,000 homeowners who had solar panels installed by Freedom Forever soon be in the dark from the company’s recent bankruptcy filing? It depends.
There are a variety of ways bankruptcy can play out. The best-case scenario would be a successful reorganization of the company or a strategic acquisition, either of which would let the company’s current service obligations proceed with minor issues. However, homeowners could find themselves facing big problems if Freedom Forever’s Chapter 11 bankruptcy degrades into a Chapter 7 liquidation.
As those who have contracts with Freedom Forever await the ultimate outcome, there are a few key steps that should be taken to ensure losses are minimized regardless of the outcome.
Obtain and review key documents
Downloading all documentation from Freedom Forever’s customer portal is a great first step for those who have contracts with the company, as this will ensure you continue to have access to key documents if Freedom Forever’s portal is shut down. It will also give you the documents you need to review to determine your situation and obligations.
When consumers sign solar contracts, they are typically committing to a solar loan, a solar lease, or a power purchase agreement (PPA). With a solar loan, you own the solar system equipment and are making monthly payments to a lender. With a solar lease, your monthly payments are a fee to cover using equipment. And with a PPA, you pay solely for the energy the panels produce.
Freedom Forever generally offered homeowners third-party ownership contracts, which were either leases or PPAs. Identifying which option your contract covers is important for knowing which steps you may need to take in the future.
Don’t stop making payments on your contract
Regardless of the type of contract you have with Freedom Forever, you should continue to make your payments. In most cases, those who signed contracts with Freedom Forever, which acted as the system installer, received a loan from a financing company or investment fund. Consequently, Freedom Forever’s bankruptcy does not do away with your contractual obligations to continue making payments.
Homeowners should continue to monitor the power their system is producing, turning to third-party monitoring tools if the Freedom Forever dashboard goes down. Those who see production stop should immediately reach out to the owner of the contract, which is typically the company billing you. Reaching out quickly can avoid receiving an “estimated” bill, which companies sometimes issue when actual monitoring is unavailable.
Homeowners who experience a production stop may also be eligible for a credit for lost savings. Check your contract for a performance guarantee or uptime clause to see if you qualify for the credit. If so, be sure to document the problem with pictures of the monitoring systems showing the production stop.
Consider taking steps to cancel your contract
Freedom Forever is not the first solar contract company to file for bankruptcy in recent months. The case involving Sunnova, a residential solar and storage provider that filed for bankruptcy in June 2025, illustrates what homeowners might expect moving forward.
According to reporting by ABC affiliate WCVB, the Sunnova bankruptcy led to a replacement management company that left customers “in the dark” and left systems “unrepaired for months on end.” While service lapsed, Sunnova’s customers were still required to make their lease payments.
Seeking a contract cancellation at this point can help homeowners avoid navigating the type of issues Sunnova’s customers faced. For those who choose that route, seeking legal counsel will likely be the wisest choice. With legal representation, exiting the contract is a complex process that can take months. Without representation, however, the process is even lengthier, especially if a growing number of Freedom Forever customers begin seeking that type of relief.
Anticipate changes in the way solar is sold and maintained
Succeeding in the solar energy market has become much more difficult for businesses in recent years. Government policy changes eliminated the tax credits that helped consumers get on board with solar energy solutions, while tariffs and other operational developments drove up costs for those who still want systems.
In addition, the sales process used by companies like Freedom Forever has recently come under fire by state law enforcement. A recent investigation launched by the Texas Attorney General highlights the problems that can arise from using a “dealer network” of independent salespeople to promote solar contracts. The Attorney General’s press release, which names Freedom Forever as one of the companies that has received a Civil Investigation Demand, states that the investigation is aimed at companies that use “fraudulent and deceptive practices” to sell solar panel systems.
Considering those developments, solar energy users should anticipate changes in how solar is sold and maintained. The industry will look for ways to remain profitable in the new landscape while providing homeowners with reliable, sustainable systems.
For Freedom Forever customers, the changes could provide a solution that restores service and support without significant hardship. But until that solution arrives, the steps outlined above will help customers to understand their obligations, avoid defaulting on loans, and be prepared to step into a new contract that meets their long-term solar needs.
Josie Garcia is the Chief Operating Officer and Vice President of Client Services at Solar Equity Solutions, where she leads operations and client experience with a strong focus on accountability, collaboration, and homeowner advocacy. Originally from San Jose, California, and now based in Houston, she brings a resilient, solutions-driven approach to helping clients navigate complex and often stressful solar contract issues.
