Solar Panel Scams in Florida: Red Flags, PACE, and Cancellation

Solar panel scams in Florida typically arrive through a door-to-door pitch that promises free panels, a government rebate, or no-cost financing, and they rely on getting your signature before you’ve had time to verify anything. The Florida Attorney General’s office has sued multiple solar companies for high-pressure sales, misrepresented tax rebates, phantom installations, and bundled work performed without the proper licenses.1Office of Attorney General. Attorney General Moody Takes Legal Action Against More Solar Companies The patterns repeat, which means you can spot them, and both state and federal law give you a short window to walk away even after signing.

Red Flags During the Sales Pitch

The pitch almost always starts with urgency. A salesperson at your door says a neighbor just signed, your address qualifies for a limited pilot, or the pricing expires at the end of the day. The pressure is the point. The longer you have to think, compare quotes, or read the contract, the less likely you are to sign, so the entire conversation is engineered to end with your signature that same visit.

Impersonation is close behind. Some representatives claim to work with Florida Power & Light or another utility, framing the installation as a mandatory grid upgrade rather than a private sale. SetUp My Solar, doing business as 320 Solar, allegedly used high-pressure tactics and misrepresented savings, equipment quality, and tax rebates before failing to complete or properly install systems.1Office of Attorney General. Attorney General Moody Takes Legal Action Against More Solar Companies

Two specific claims should stop the conversation on their own:

  • “Free solar panels” from the government. No such program exists in Florida. Every residential solar installation is a purchase, a loan, a lease, or a power purchase agreement, and each one has real costs attached.
  • “You’ll get a check back from the IRS.” The federal Residential Clean Energy Credit is a dollar-for-dollar reduction in your federal income tax liability, not a cash rebate. If you owe $3,000 in federal taxes and qualify for a $7,000 credit, you zero out the $3,000 bill but don’t receive the remaining $4,000 as a payment. Homeowners with low or no federal tax liability get little or no benefit from it. The credit equaled 30% of qualifying installation costs for systems placed in service from 2022 through December 31, 2025. A salesperson who guarantees you a specific dollar refund without ever asking about your tax situation is misleading you.2Internal Revenue Service. Residential Clean Energy Credit3Office of the Law Revision Counsel. 26 USC 25D – Residential Clean Energy Credit

PACE Financing: The Most Misrepresented Product

Property Assessed Clean Energy (PACE) financing comes up in a lot of Florida solar pitches, often described as a “government grant” or “free financing.” It is neither. Under Florida Statutes Section 163.08, local governments may levy non-ad valorem assessments to fund qualifying energy improvements, including solar panels.4The Florida Legislature. Florida Code 163.08 – Definitions In plain terms, PACE is a loan you repay through your annual property tax bill, and signing creates a lien on your property.

That lien is senior to your mortgage. If you default, the delinquent PACE assessment can be recovered before your mortgage lender gets paid.5Florida Senate. House of Representatives Staff Final Bill Analysis – HB 927 If you later try to refinance or sell, many mortgage lenders will require you to pay off the entire PACE balance first. Interest rates on PACE loans in Florida typically run from about 6% to 13%.6Florida PACE Funding Agency. Frequently Asked Questions

Florida tightened PACE rules through SB 770, effective July 1, 2024. Program administrators may now operate only in counties or municipalities that have authorized the program through a local ordinance.7Florida PACE Funding Agency. Program Changes Under SB 770 Before you sign, Florida Statutes Section 163.081 requires 14 written disclosures covering the total amount financed, the estimated annual assessment added to your property tax bill, the existence of the lien and what happens if you don’t pay, your three-business-day right to cancel without penalty, and a plain statement that any projected utility or insurance savings are not guaranteed.8The Florida Legislature. Florida Code 163.081 – Supplemental Authority for Improvements to Real Property The administrator must also conduct a recorded phone call with you to confirm the key terms before finalizing the agreement. If a contractor rushes you past the disclosures or tries to skip the confirmation call, that alone is reason to stop.

What to Look For in the Contract

Most of the financial damage from Florida solar scams happens in the gap between what the salesperson promises and what the written contract actually says. A pitch may claim the panels will “eliminate your electric bill,” but Florida utilities still charge grid connection and minimum monthly fees regardless of how much solar energy your system produces, and the contract rarely guarantees any specific savings figure.

Before you sign, read for these items:

  • System pricing. Residential systems nationally run roughly $2.40 to $3.35 per watt before incentives, which puts a typical 12 kW system between about $29,000 and $40,000. A quote well above that range may be padded with hidden markups. Get at least three written quotes and compare cost per watt, not just the bottom line.
  • Bundled products. Some companies tack on water heaters, air conditioning units, or other equipment without holding the licenses required to install them. The Attorney General’s office has pursued companies for exactly this practice.1Office of Attorney General. Attorney General Moody Takes Legal Action Against More Solar Companies
  • Cancellation penalties. Some contracts include liquidated damages clauses charging a percentage of the contract price (sometimes 15% or more) if you cancel after the cooling-off period. Read that section first.
  • Performance promises in writing. If a salesperson commits to specific energy savings, those numbers belong in the contract. Verbal assurances are nearly impossible to enforce.

If You Already Signed: Your Cancellation Rights

Florida and federal law both give you a short window to cancel a home-solicited solar sale with no penalty. Scammers count on you not knowing this.

Florida’s Three-Day Rule

Under Florida Statutes Section 501.025, you may cancel any home solicitation sale until midnight of the third business day after signing. No specific form is required. Any written notice stating that you don’t intend to be bound by the sale is enough, whether delivered in person, by mail, or by telegram. A mailed cancellation is effective on the postmark date, not the date the company receives it.9The Florida Legislature. Florida Code 501.025 – Home Solicitation Sale; Buyers Right to Cancel Notice of this right must appear on every note or evidence of debt tied to the sale; if it doesn’t, the company has already broken the law.

The Federal Cooling-Off Rule

The FTC’s Cooling-Off Rule at 16 CFR Part 429 provides a parallel protection. For any sale of $25 or more made at your home through a personal solicitation, you have until midnight of the third business day to cancel. The seller must give you a completed cancellation form in duplicate when you sign and must inform you orally of your right to cancel. A contract that waives your cancellation rights violates federal law.10eCFR. 16 CFR Part 429 – Rule Concerning Cooling-Off Period for Sales Made at Homes or at Certain Other Locations

PACE Financing Cancellation

If your contract uses PACE financing, Florida law gives you a separate three-business-day right to cancel the financing agreement without financial penalty.8The Florida Legislature. Florida Code 163.081 – Supplemental Authority for Improvements to Real Property If a company tells you the deal is “locked in” the moment you sign, they’re wrong as a matter of law.

How to Vet an Installer Before You Sign

Most Florida solar scams fall apart under basic due diligence, which is why the sales approach is designed to prevent any.

Start with the license. Florida defines a solar contractor as someone whose services include the installation, repair, maintenance, or replacement of solar panels for water heating, pool heating, and photovoltaic systems, and anyone performing that work must hold the appropriate state license.11Florida Senate. Florida Code 489.105 – Definitions You can verify a license through the Florida Department of Business and Professional Regulation’s online search. If the company can’t produce a valid license number, end the conversation.

Beyond state licensing, the North American Board of Certified Energy Practitioners (NABCEP) maintains a searchable directory of certified solar professionals, where you can confirm an installer’s certification type and expiration date.12NABCEP. NABCEP Professional Directory NABCEP certification isn’t legally required, but fly-by-night operations rarely bother to earn it.

A few more steps worth taking:

  • Get three written quotes and compare cost per watt. Investigate any outlier in either direction.
  • Ask about permits. Legitimate installers pull local building permits and schedule inspections. A suggestion to skip permits to “save time” can void your warranty and leave you with code violations.
  • Take the contract home. Read it overnight. Have someone else read it.
  • Search the company name on the Florida Attorney General’s complaint portal and the Better Business Bureau. A pattern of complaints about incomplete installations, broken promises, or aggressive sales tells you what you need to know.

How to File a Complaint and Recover

If you’ve been scammed or suspect fraud, file with both agencies that have jurisdiction. The more documentation you provide, the stronger the case.

The Florida Attorney General’s Office enforces the Florida Deceptive and Unfair Trade Practices Act (FDUTPA), which prohibits unfair and deceptive business practices and has been used repeatedly against solar companies for misleading pricing, incentive, and performance claims.13The Florida Legislature. Florida Code 501.201 – Short Title File through the AG’s online complaint portal, and include your signed contract, any promotional materials or text messages from the salesperson, photos of the installation (or the lack of one), and a dated timeline from first contact onward.14Office of the Attorney General. Office of the Attorney General – File a Complaint

For licensing violations, the Department of Business and Professional Regulation handles complaints against licensed contractors who misbehaved and against anyone performing solar work without a license. File online through the DBPR’s complaint portal or call the unlicensed activity hotline at 1-866-532-1440.15MyFloridaLicense.com. Department of Business and Professional Regulation – File a Complaint16Florida Department of Business and Professional Regulation. How Do I File an Unlicensed Activity Complaint for a Profession or Business That the Department of Business and Professional Regulation Regulates

Investigation timelines vary. The DBPR states that investigations differ in complexity and duration, so no standard completion time exists.17Florida Department of Business and Professional Regulation. Division of Regulation – Complaints Don’t wait for the investigation to resolve before taking other steps. FDUTPA allows private lawsuits in addition to government enforcement, so a consultation with a consumer protection attorney is worth the time. If PACE financing is involved, contact your county property appraiser’s office to understand the lien recorded against your property and to check whether the required disclosures were given, since a missed disclosure may give you additional grounds to challenge the agreement.