Solar Company to Fund $3 Million Restitution Program for CA Consumers

RIVERSIDE COUNTY, CA — A former solar power developer will pay $4.3 million to resolve allegations that it misled California consumers over a four year period, Riverside County District Attorney Mike Hestrin announced.

The settlement with Vivint Solar was reached Wednesday in Riverside County Superior Court, where the initial complaint was filed in December. Customers from Riverside, Alameda, Fresno, San Diego and San Francisco counties can now resolve alleged consumer protection violations tied to Vivint Solar for homeowner systems contracted between Aug. 3, 2016, and Oct. 8, 2020, according to Hestrin's recent news release.

"A total of $1,050,000 for civil penalties will be distributed evenly across the five participating counties, amounting to $260,000 distributed to each county," a DA spokesperson told Patch. "Riverside County will also receive $250,000 for investigative costs.

California consumers who file a claim within 15 days of Thursday will receive a portion of funds from Vivint Solar’s $3,000,000 restitution fund.

Prosecutors initially alleged the solar company misrepresented its relationship with local utility companies, overstated projected energy savings or costs, and misled consumers about their ability to cancel power purchase agreements.

Though there was no admission of liability, under the judgement Vivint Solar is barred from engaging in unlawful, unfair or fraudulent practices described in the original complaint, according to the release.

Vivint Solar will pay $1.3 million in civil penalties and investigative costs and establish a $3 million restitution fund for eligible California consumers who entered into Vivint PPAs during the specified period.

Though Vivint Solar became a wholly owned subsidiary of Sunrun Inc. on Oct. 8, 2020, Sunrun is not a party to the enforcement action, according to the release.

In the future, Vivint is prohibited from obtaining consumer credit reports or creating solar-related accounts without written consent, failing to provide written contract translations in the language used during negotiations or enforcing certain liquidated damages provisions that do not comply with California law, according to the ruling.

Eligible consumers will receive notification about how to file restitution claims, including deadlines, through Vivint Solar and Sunrun consumer websites.