Solar Resolution Advocates

Colorado solar loan help

Can you cancel a solar contract in Colorado?

If you bought on or after July 1, 2026, yes. Colorado's solar law gives a buyer at least three business days after receiving the signed agreement to cancel without a financial penalty [1]. The clock doesn't start until the company makes a required welcome call [1]. Agreements signed before July 1, 2026 fall under older rules [1].

Updated · Solar Resolution Advocates

How cancellation works under Colorado's solar law

Senate Bill 25-299 added a new part to the Colorado Consumer Protection Act for residential solar and battery systems. It covers cash and financed purchases, leases and power purchase agreements. It applies to agreements signed on or after July 1, 2026 [1].

For a purchase, you have at least three business days after receiving the signed agreement to cancel. The company may keep a nonrefundable deposit of no more than $100, but only if it collected that deposit before you received the signed agreement [1].

At signing, the seller must explain your right to cancel out loud and give you the specific last date to cancel. The contract must also include a cancellation statement next to your signature and a cancellation form [1].

The welcome call

After the sale, the company must have a welcome call with you in the language used for the sale. The call must cover the price, system size, whether it provides backup power, the length of any lease or power purchase agreement, your right to cancel, and the costs and financing terms [1].

Your three-day cancellation clock doesn't start until that call happens [1]. If you never got one, note that for your consultation.

What a Colorado solar seller must give you in writing

Before you sign, the seller must give you a written disclosure form that's no more than four pages [1]. Among other things, it must cover:

  • Your payment schedule, the assumptions behind the system design, maintenance, and warranties [1].
  • The basis for any savings estimate, plus a required statement that estimates use your past 12 months of bills, rates can change, some utility fees can't be offset, power you send to the grid may be credited below what you pay for electricity, and incentives can change [1].
  • A statement that the solar company is not affiliated with your local utility [1].
  • For financing, whether the lender will file a claim against your property, such as a lien or a UCC fixture filing [1].
  • For a lease or power purchase agreement, its length, first-year payments, any yearly increase, fees, any UCC fixture filing, and whether it transfers if you sell your home [1].

Sales rules in Colorado

  • Sellers may not use a utility's name, logo or pictures without its written consent. They also may not claim to be affiliated with, sponsored by or approved by your utility [1].
  • Door-to-door sales visits are limited to 9 a.m. to 8 p.m., unless you schedule a meeting outside those hours. Sellers may not visit a home with a posted no-solicitation sign [1].
  • The solar company is responsible for violations by the independent salespeople it uses [1].
  • Sellers must provide at least a four-year warranty against roof damage or leaks at each roof penetration and against workmanship defects [1].
  • Contracts must be in the language used for the sale. Sellers must offer the sales presentation in Spanish on request [1].

If a company breaks these rules

A violation of Colorado's solar law is a deceptive trade practice under the Colorado Consumer Protection Act [1]. Under that act, a harmed consumer can sue. A court can award the greater of actual damages or $500, more in some cases of bad faith, plus attorney fees [2]. These claims generally must be brought within three years [3].

The law treats a violation as a deceptive practice. It doesn't say the contract becomes void.

Enforcement in Colorado

In December 2025, the Colorado Attorney General announced that a statewide grand jury had indicted two men connected to Sopris Solar on charges related to a home solar contracting fraud scheme. An indictment is an accusation, not a conviction [4][6].

If the cancellation window has passed

Most homeowners we talk to signed before these rules took effect or are past the first few days. That doesn't end the question. Many consumer loan contracts include a federal notice required by the FTC Holder Rule. It makes whoever holds your loan subject to the claims you have against the seller, with recovery capped at what you've paid [5]. Whether it applies depends on your loan papers.

Keep making your payments while you sort it out. Start with the cheapest fixes, like a call to your loan servicer or a warranty claim, and bring your contract to a free consultation.

Where to complain or check a license in Colorado

This is general information, not legal advice.

Laws change, and whether a rule applies depends on your contract and the facts. Solar Resolution Advocates is not a law firm. For advice on your situation, talk to a licensed Colorado attorney.

Sources

  1. [1] Colorado Senate Bill 25-299, signed act (C.R.S. 6-1-1801 to 6-1-1812)
  2. [2] C.R.S. 6-1-113, Colorado Consumer Protection Act damages
  3. [3] C.R.S. 6-1-115, time limit for actions
  4. [4] Colorado Attorney General: statewide grand jury indicts two in home solar contracting fraud scheme (Dec. 2025)
  5. [5] 16 CFR 433.2, FTC Holder Rule
  6. [6] 9News (via now.solar): solar panel installers indicted (Dec. 2025)

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