Ken Paxton Launches Crackdown on Solar Companies Over Alleged Deceptive Practices

Texas Attorney General Ken Paxton (R) has announced a sweeping initiative targeting solar energy companies accused of misleading consumers and engaging in fraudulent business practices.

As part of the effort, Paxton's office has issued Civil Investigative Demands (CIDs) to several major providers, including Freedom Forever, LLC, SunRun, Inc., Lone Star Solar Services LLC, and CAM Solar Inc..

The investigation follows more than 100 formal complaints filed with the Office of the Attorney General, along with thousands of additional reports posted online, alleging deceptive sales tactics and misleading claims.

According to Paxton, the companies are being scrutinzed for potential violations of the Deceptive Trade Practices-Consumer Protection Act. Allegations include overstating energy savings, misrepresenting the performance of solar systems, and failing to clearly disclose contract terms, warranties, and service obligations.

The CIDs require the companies to turn over detailed records, including marketing materials, customer contracts, warranty information, and internal data used to track whether customers actually see reductions in their electricity bills.

"Thousands of Texans have been targeted by companies selling solar panel systems and it's imperative that these companies are held responsible for any lies or deceptive marketing they use," said Paxton. "This initiative to stop widespread fraudulent activity in the solar panel industry is only beginning, and my office will take legal action against any corporations breaking the law and scamming Texans."

The initiative marks one of the most aggressive state-level efforts to scrutinize the rapidly growing residential solar industry, which has expanded alongside rising energy costs and demand for alternative power sources.

Paxton's investigation signals increased regulatory pressure on solar providers operating in Texas, as state officials move to ensure consumer protections keep pace with the state's evolving energy market.