Are Solar Panels a Good Deal?

Philip Silberman
Solar Panels and Legal Concerns for Homeowners in Texas

Solar energy sounds like a win-win: save on electricity, reduce your carbon footprint, and maybe even earn money by selling power back to the grid. But for many Texas homeowners, the dream doesn’t match the reality. At Silberman Law Firm, we receive regular calls from frustrated clients who claim they were misled by solar panel companies. So are solar panels a good deal? Let’s shed some light on the facts and legal issues.

The Financial Reality: Do Solar Panels Really Save You Money?

According to Forbes.com, the average payback period for solar panels is 6 to 10 years, depending on your location and energy consumption. Sunshine-heavy states like Texas may fall on the shorter end of that spectrum, while cloudy regions like Washington could see payback periods as long as 15 years.

But here's the catch: the average American moves every 5 to 6 years. If you’re not planning to stay in your home long-term, it’s unlikely you’ll ever recoup your investment. And while newer models and federal tax incentives help reduce costs, solar panels remain a long-term commitment with mixed short-term gains.

Common Legal Complaints Against Solar Companies

Here’s what we often hear from clients:

  1. "The salesperson said I’d save hundreds a month, and I’m still paying the same or more."
  2. "They drilled into my roof and now it leaks."
  3. "I paid the deposit, but the panels were never installed."

These aren't just annoyances they’re potential legal claims, including:

  1. Fraud and fraudulent concealment
  2. Deceptive Trade Practices under the Texas Deceptive Trade Practices Act (DTPA), found in Texas Business & Commerce Code § 17.41 et seq.
  3. Breach of contract

However, most solar contracts include non-reliance or merger clauses language stating that no verbal promises count unless written in the contract. Sounds airtight, right? Not in Texas.

Can You Still Sue? Texas Law on Boilerplate Contracts

Texas courts often view these non-reliance clauses with skepticism, especially when consumers are at a significant bargaining disadvantage. A key case here is Italian Cowboy Partners, Ltd. v. Prudential Insurance Co. of America, 341 S.W.3d 323 (Tex. 2011), where the Texas Supreme Court found that even with a merger clause, fraudulent inducement claims could still proceed.

Courts look at several factors to determine if a non-reliance clause is enforceable:

  1. Was the contract negotiated or boilerplate?
  2. Was the consumer represented by an attorney?
  3. Was there a significant disparity in bargaining power?

In solar panel transactions typically door-to-door sales with no negotiation or legal counsel these clauses often fall apart in court. That means your lawsuit may be viable, even if you signed a contract disclaiming all verbal promises.

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