Key Takeaway: The solar contract rescission period is usually three business days under federal law. Several states extend it to five, seven, or fifteen business days for solar sales or older buyers. The clock often starts only when you receive the signed contract and a proper cancellation notice. A missing or defective notice can keep the window open longer.
Rescission and Cancellation Are Not the Same Thing
Rescission unwinds a contract as if it never existed. Each side returns what it received, so payments come back and security interests end. Ordinary cancellation, by contrast, may only stop future obligations while leaving fees or penalties in place.
Solar homeowners can hold rescission rights from three different legal sources. Each source has its own deadline and its own rules.
- Statutory cooling-off rights: Federal and state laws let buyers undo certain in-home sales within a fixed window.
- Lending rescission rights: The Truth in Lending Act can let borrowers rescind certain loans secured by their principal dwelling.
- Equitable rescission: Courts may unwind a contract obtained through fraud, forgery, or serious misrepresentation. No short fixed deadline usually applies.
The first two sources carry strict clocks. The third depends on evidence and state law. Knowing which agreement you signed matters too, because solar contract types carry different parties and paperwork.
How the Rescission Clock Actually Counts
The deadline usually ends at midnight of the last day in the window. Under the FTC Cooling-off rule, a business day includes Saturday but excludes Sunday and federal holidays. The rule covers qualifying sales made at your home or at temporary sales locations.
Here is a worked example. A homeowner signs a solar contract on Thursday with no holidays nearby. Day one is Friday, day two is Saturday, and day three is Monday. The federal window closes at midnight on Monday.
Events That Can Start the Clock Later
Signing day is not always day zero. California counts from when you receive a signed and dated copy of the contract that includes the notice. Rhode Island regulations start the clock when the customer actually receives the fully executed agreement. Texas ties its window to the later of signing or receiving the required disclosures.
Events That Can Keep the Window Open
A seller must give written notice of the right to cancel at the time of sale. The notice may be missing, incomplete, or in the wrong language. Some state laws then treat the window as never having started. The exact consequence varies by statute, so review the notice page of your contract closely.
Solar Contract Rescission Periods by State
State law can lengthen the federal window, and several states now have solar-specific rules. The table summarizes verified periods for common situations. Laws change, so confirm the current rule with your state attorney general before relying on it.
| State | General Period | Longer Periods or Special Rules |
| Federal baseline | 3 business days | Applies to qualifying in-home sales nationwide |
| California | 3 business days | 5 business days for buyers 65 and older |
| Texas | 5 business days | Solar-specific rule for contracts signed since September 1, 2025 |
| Rhode Island | 7 days | Solar-specific, excluding Sundays and holidays |
| Nevada | 3 business days | Covers purchases, leases, and PPAs; email notice allowed |
| Montana | 3 business days | Solar-specific; email or certified mail notice |
| Virginia | 3 business days | Up to 30 days after certain misrepresentations; 5 business days for solar from January 1, 2027 |
| North Dakota | 3 business days | 15 business days for buyers 65 and older |
| Illinois | 3 business days | 15 business days for seniors in certain uninvited home repair sales |
| Massachusetts | 3 business days | General home solicitation rule |
| Florida | 3 business days | General home solicitation rule |
| Arizona | 3 business days | General home solicitation rule |
| Minnesota | 3 business days | General home solicitation rule |
Why Older Homeowners Often Get More Time
Several states give buyers 65 and older a longer window after in-home sales. North Dakota allows fifteen business days for purchases over fifty dollars. Illinois allows fifteen full business days for seniors in certain home repair contracts from uninvited solicitors. Whether a solar installation falls under that Illinois rule depends on how the sale occurred.
What the Newer Solar-Specific Laws Add
Solar-specific statutes often do more than extend the deadline. Nevada bars installation until the company records a verbal confirmation of key contract terms with the customer. Montana’s solar rescission statute says a rescinded contract cannot be enforced. The company also cannot file claims for labor and materials.
The Lending Rescission Right Many Borrowers Miss
A separate right of rescission can apply to the loan rather than the sales contract. The Truth in Lending Act and Regulation Z cover certain credit secured by a principal dwelling. Borrowers get three business days to rescind it. If required disclosures were missing, that right can extend up to three years.
This right does not cover every solar loan. Many solar loans are unsecured or rely on a UCC-1 fixture filing rather than a mortgage. Whether a particular filing creates a security interest in the dwelling is a legal question. The rules to cancel a solar loan depend heavily on how the lender structured that security.
Canceling the sales contract does not always cancel the financing automatically. Texas now requires an affiliated or referred lender to cancel the loan when the solar contract is cancelled. In other states, send separate written notice to the lender as well.
What a Valid Rescission Notice Should Include
A rescission notice works only if it reaches the right party, by an allowed method, before the deadline. Use the cancellation form from your contract when possible. If you write your own letter, include these elements.
- Your identifying details: Full name, property address, and any contract or account number.
- The signing date: The date you signed and the date you received the signed copy.
- A clear statement: Words showing you do not wish to be bound by the agreement.
- The correct recipient: The name and address listed for cancellation notices.
- Your signature and date: Sign and date the notice before sending.
Delivery rules differ by state. Rhode Island’s standard notice calls for registered or certified mail. Nevada allows email to the address on the contract’s cover page. Whatever the method, keep proof of the sending date and time.
What the Company Must Do After You Rescind
A valid rescission shifts the obligations to the seller. Under the federal rule, the seller must refund all payments within 10 business days of receiving your notice. The seller must also cancel any security interest arising from the sale.
Some states move faster or add penalties. The Rhode Island solar rescission law gives the retailer five business days to return deposits and cancel security interests. Retailers that fail to comply can face treble damages plus attorney fees.
Common Seller Pushback and How the Law Treats It
Sellers sometimes claim that ordered equipment or scheduled crews block a rescission. A valid statutory rescission generally does not depend on the seller’s expenses. Sellers also cannot lawfully require a buyer to waive federal cooling-off rights.
What Happens After the Rescission Period Closes
Once the solar contract rescission period ends, the agreement generally becomes enforceable on its own terms. Exits then depend on contract clauses, negotiation, or legal claims. A lease, for example, may allow a buyout or transfer. Ways to cancel a solar lease follow those contract terms.
Equitable rescission may still be possible when fraud or serious misrepresentation occurred. Examples include forged signatures, false government affiliation claims, or hidden payment terms. These claims require evidence and often go through arbitration under the contract.
What Homeowners Should Take From the Rescission Period
The solar contract rescission period is short, but it is not always as short as it looks. State law, your age, the delivery of the signed contract, and the cancellation notice all affect the deadline. Financing may carry a separate rescission right with its own rules.
Read the notice page first, count business days carefully, and send notice with proof of delivery.
This article is general information, not legal advice. Want a clear read of your own paperwork? Our team at Free My Solar reviews solar contracts during a free consultation.
Frequently Asked Questions About the Solar Contract Rescission Period
Does the rescission period apply to solar contracts signed online?
Usually not under the federal rule. The FTC Cooling-Off Rule excludes sales made entirely online, by mail, or by phone. Some solar-specific state laws apply regardless of where you signed, so check your state’s statute.
Do weekends count toward the rescission deadline?
Saturdays count as business days under the federal rule, while Sundays and federal holidays do not. State definitions can differ. Rhode Island’s notice, for example, excludes Sundays and holidays without mail delivery.
Can I rescind a solar lease or PPA, or only a purchase?
Many rescission laws cover leases and PPAs as well as purchases. Nevada’s solar statute names all three agreement types. Federal cooling-off rights also cover qualifying in-home leases.
Can a solar company start installation during the rescission period?
Some companies schedule work quickly, but early work generally does not remove your rescission right. Nevada bars installation until the required verbal confirmation is recorded. If you rescind, a statutory right generally does not depend on the work performed.
What if I missed the rescission deadline?
Check whether you received a proper notice of cancellation and a signed copy. A defective notice may extend the window in some states. Otherwise, options include contract buyouts, transfers, negotiation, or claims based on misrepresentation.