Your Arkansas Solar Contract Was Built on Savings That Were Never There. Here's What You Can Do About It.
The short version: Most Arkansas solar leases have an escalator clause. It raises your payment 2.9% every year. Over 25 years, a $150 payment grows to more than $300. In March 2023, Arkansas AG Tim Griffin filed two lawsuits against solar companies. Big solar companies that worked in Arkansas have gone bankrupt. LGCY Power is one of them. If your solar panels aren't saving what you were told, you have real rights. Start with a free Solar Relief Assessment to see what's actually in your contract.
Arkansas has some of the cheapest electricity in the country. That's the fact your solar salesperson hoped you wouldn't look up.
When electricity costs 10 cents per kilowatt-hour, the gap between what you pay the utility and what you pay under a solar contract is razor thin. In states like Connecticut or California, high rates give solar room to save you real money. In Arkansas, the math was tight from the start - and any miscalculation in your savings projection tips the entire deal against you.
So why did a solar salesperson show up at your door in Arkansas promising big savings? Because the commission structure works the same in every state. The salesperson gets paid whether the math works for you or not.
If your solar panels aren't saving you what you were promised, it's not because you did something wrong. It's because the numbers were off before you signed.
The Arkansas Attorney General Is Watching Solar
In March 2023, Arkansas AG Tim Griffin filed two lawsuits against solar companies. The first was against Sun Valley Renewables. Customers had made $1.1 million in complaints. The second was against Cavalry Solar (also called Apollo Energy). Those complaints totaled $1.8 million. In October 2023, the AG sent a warning letter to every solar company in Arkansas. He said the state would pursue pushy sales, fake tax rebate claims, and door-to-door sales law violations.
This matters to you. State enforcement agencies have put it on the record. The same sales tactics used on Arkansas homeowners are now named in court filings. If what your salesperson told you doesn't match your contract, you're not alone. You're not crazy. And you have options.
What's actually in your Arkansas solar contract
Here's what most Arkansas homeowners don't realize until the bills start piling up: in a low-rate state, even a small escalator clause can erase your savings entirely.
Your salesperson told you solar would lower your bill. But did they mention the escalator clause buried in your lease? That's the line that raises your payment every year - by as much as 2.9%. In a state where electricity is already cheap, that escalating payment crosses above your utility rate faster than in any high-cost state. And once it does, you're paying more for solar than you'd pay without it!
Did they tell you about Arkansas's net metering changes? Arkansas has been adjusting its net metering rules, which directly affects how much credit you get for excess energy sent back to the grid. If your contract's savings projections were based on older, more favorable net metering rates, your actual returns are lower than promised.
And did they mention what happens when the company behind your contract disappears? More than 100 solar companies filed for bankruptcy in 2024 alone, according to SolarInsure. Titan Solar Power. Sunnova (filed Chapter 11 in June 2025 - one of the largest residential solar companies in the country). Power Home Solar. When your installer goes under, your payments don't stop. Your contract doesn't disappear. But the warranty you were counting on is gone.
Your rights under Arkansas law
Arkansas gives you legal protections that apply directly to misleading solar sales. Here's what your salesperson didn't explain.
Your 3-day cancellation window. If a solar salesperson came to your home and you signed the contract there, the federal FTC Cooling-Off Rule gives you 3 business days to cancel with no penalty. If this right wasn't disclosed to you, that affects the enforceability of your agreement. Check your contract. If there's no cancellation notice on the front page, the company skipped a required step.
Arkansas Deceptive Trade Practices Act. Arkansas Code §4-88-107 prohibits deceptive and unconscionable trade practices. If your solar company made misleading claims about what you'd save or how your system would perform - and in a low-rate state like Arkansas, overstated savings are easy to prove - this statute covers your situation. You don't need to prove intent. You need to prove the claim was false.
Net metering policy changes. Arkansas has adjusted its net metering rules, reducing the credit you receive for excess solar energy sent back to the grid. If your contract's savings projections were built on older, more favorable rates, you're earning less than you were told. This isn't speculation - it's a published rate change that affects every Arkansas solar homeowner.
Low utility rates expose inflated projections. Arkansas electricity rates are among the lowest in the country. That means any exaggeration in your savings projection is easier to spot. If your salesperson projected annual savings of $1,500 or more, compare that to your actual pre-solar utility bill. In Arkansas, the numbers rarely support that kind of promise.
Hidden dealer fees in your loan. If you financed your solar installation through a loan, there is a good chance a dealer fee was embedded in your balance - sometimes adding thousands of dollars to what you owe. Under the federal Truth in Lending Act, every finance charge must be disclosed. If yours wasn't, that's a violation.
What you can do right now
You don't have to figure this out alone. Here are the first steps for Arkansas homeowners.
File a complaint with the Arkansas Attorney General. Go to https://arkansasag.gov/file-a-complaint/. Or call 1-800-482-8982. Filing is free. The AG's office reads every complaint.
Compare what the salesperson told you to what's in your contract. In most cases, the two don't match. That gap is what makes a case.
Pull your utility bills from the last 12 months. Add up what you're paying the utility plus what you're paying for solar. Compare that to what you'd pay the utility alone. If the numbers don't work, that's a real gap — not just a feeling.
Find the escalator clause and the dealer fee in your contract. These two lines cause the biggest gap between what you were sold and what you're paying. You can spot both by reading your own paperwork.
Every contract is different. But the first step is the same for everyone. Understand what you signed. Solar Home Advocate built the free Solar Relief Assessment for this exact moment. Someone walks through your contract with you in plain English. They tell you your options.
You Signed a Solar Contract in Arkansas. Find Out Whether the Savings Were Ever Real.
Arkansas's low electricity rates mean the margin between saving money and losing money on solar is razor thin. A free Solar Relief Assessment helps you understand what's in your contract, whether the projections were accurate, and what you can do about it for you and your family.
[Get free Solar Relief Assessment →](https://solarhomeadvocate.com/free-assessment?utm_source=substack&utm_medium=article&utm_campaign=state-guide&utm_content=arkansas)Get free Solar Relief Assessment →**
No charge. No obligation. No high-pressure pitch.
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"Sal says: A 2.9% escalator clause nearly doubles your payment over 25 years. If you signed a solar contract in Arkansas, these facts hit your math and your warranty."
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Frequently Asked Questions
What are my rights if I signed a solar contract in Arkansas?
Did a salesperson come to your home? If yes, you have a 3-day right to cancel. That's under Arkansas Home Solicitation Sales Act and the federal FTC Cooling-Off Rule. Arkansas also has Arkansas Deceptive Trade Practices Act (Ark. Code Ann. §4-88-101 et seq.). That law covers unfair or deceptive sales tactics. You can file a complaint with the Arkansas Attorney General. Go to https://arkansasag.gov/file-a-complaint/ or call 1-800-482-8982. If your salesperson didn't tell you about the 3-day cancel rule, that can affect your contract.
Has Arkansas sued any solar companies?
Yes. In March 2023, Arkansas AG Tim Griffin filed two lawsuits against solar companies. The first was against Sun Valley Renewables. Customers had made $1.1 million in complaints. The second was against Cavalry Solar (also called Apollo Energy). Those complaints totaled $1.8 million. In October 2023, the AG sent a warning letter to every solar company in Arkansas. He said the state would pursue pushy sales, fake tax rebate claims, and door-to-door sales law violations.
How does the escalator clause affect my Arkansas solar contract?
Most Arkansas solar leases have an escalator clause. It raises your payment about 2.9% every year. On a 25-year lease, a $150 payment grows to more than $300. Arkansas's average electricity rate is about 12.35 cents per kilowatt-hour in early 2026. That's well below the national average of 17.45 cents. So the gap between your solar payment and your utility bill was small from the start. Utility rates haven't always gone up 2.9% a year. So your solar payment can climb faster than your would-be utility bill. Your savings shrink instead of grow.
What happens if my Arkansas solar company went bankrupt?
SolarInsure counted more than 100 solar company bankruptcies in 2024. Big names include SunPower (Aug 2024), Sunnova Energy (June 2025), Titan Solar Power (June 2024), Freedom Forever (April 15, 2026), Pink Energy (Oct 2022), and Vision Solar (Dec 2023). If your installer went bankrupt, your contract still stands. Your payments still go out. But the workmanship warranty usually dies with the company. The panel maker's warranty (often 25 years) still exists. But filing a claim without an active installer is hard.
Can I cancel my Arkansas solar contract?
Did the salesperson come to your home? Then Arkansas law gives you 3 business days to cancel. That's under Arkansas Home Solicitation Sales Act and the federal FTC Cooling-Off Rule. If those 3 days have passed, you may still have options. Did they skip the cancel notice? Did they use deceptive sales tactics? Did your loan hide fees? Any of those can open a path to cancel. It depends on your specific contract and how it was sold.
What are hidden dealer fees on an Arkansas solar loan?
Solar finance companies add dealer fees of 15 to 30 percent to your loan. They roll the fee into the principal. They don't list it separately. That means you pay interest on fee money that went to the solar company. Not to your panels. The federal Truth in Lending Act says every fee must be listed clearly. A hidden fee can be a federal violation. That's one of the strongest paths to renegotiate or exit a solar loan.
How do I file a solar complaint in Arkansas?
Go to the Arkansas Attorney General's website at https://arkansasag.gov/file-a-complaint/. Or call 1-800-482-8982. Filing is free. Write down what the salesperson told you at the sale. Save your contract. Save any texts, emails, and voicemails with the installer. If you have a solar loan, keep your loan paperwork. A formal complaint creates a record. That record strengthens any legal review later.