5/6/2026Residential Solar Energy Consumer Protection ActGeneral ProvisionsAmended by Chapter 95, 2026 General Session2026Definitions.As used in this chapter:"Actual energy production" means the average kilowatt-hours produced and measured by the residential solar energy system during the 12 consecutive months immediately following the residential solar energy system's activation."Customer" means a person that, for primarily personal, family, or household purposes:purchases, or is solicited to purchase, a residential solar energy system under a system purchase agreement;leases, or is solicited to lease, a residential solar energy system under a system lease agreement; orpurchases, or is solicited to purchase, electricity under a power purchase agreement."Division" means the Division of Consumer Protection, established in Section 13-2-102."Employee" means an individual whose compensation for federal income tax purposes is reported, or is required to be reported, on a W-2 form the employer issues."Employee" does not include an independent contractor whose manner and means of work performance are not subject to direction, supervision, or instruction from the person who employs the independent contractor."Estimated energy production" means the solar retailer's estimate, measured by kilowatt-hour, of how much energy the residential solar energy system will produce."Nameplate capacity" means the sum of the maximum rated outputs of all electrical generating equipment under specific conditions the manufacturer designates, as indicated on the nameplate physically attached to the equipment."Participant" means an owner, officer, director, member or manager of a limited liability company, principal, trustee, general or limited partner, sole proprietor, or an individual, with a controlling interest in an entity."Power purchase agreement" means an agreement:between a customer and a solar retailer;for the customer's purchase of electricity that a residential solar energy system owned by the solar retailer generates; andthat provides for the customer to make payments over a term of at least five years."Residential solar energy system" means a solar energy system that:is installed in the state;generates electricity primarily for on-site consumption for personal, family, or household purposes;is situated on no more than four units of residential real property; andhas an electricity delivery capacity that exceeds one kilowatt."Residential solar energy system" does not include a generator that:produces electricity; andis intended for occasional use."Sales representative" means an individual who:enters into a business relationship with a solar retailer to sell or attempt to sell a residential solar energy system through direct contact with customers and potential customers; andas part of the business relationship described in Subsection (10)(a), is compensated, in whole or in part, by commission; orsets appointments or discusses the benefits of solar energy with a potential customer on behalf of a solar retailer."Solar agreement" means a system purchase agreement, a system lease agreement, or a power purchase agreement."Solar energy system" means a system or configuration of solar energy devices that collects and uses solar energy to generate electricity."Solar retailer" means a person who:sells or proposes to sell a residential solar energy system to a customer under a system purchase agreement;owns the residential solar energy system that is the subject of a system lease agreement or proposed system lease agreement; orsells or proposes to sell electricity to a customer under a power purchase agreement."System lease agreement" means an agreement:under which a customer leases a residential solar energy system from a solar retailer; andthat provides for the customer to make payments over a term of at least five years for the lease of the residential solar energy system."System purchase agreement" means an agreement under which a customer purchases a residential solar energy system from a solar retailer.Enacted by Chapter 290, 2018 General Session2018Applicability of chapter.This chapter:
applies to each solar agreement entered into on or after September 3, 2018, including a solar agreement that accompanies the transfer of ownership or lease of real property; and
does not apply to:
the transfer of title or rental of real property on which a residential solar energy system is or is expected to be located, if the presence of the residential solar energy system is incidental to the transfer of title or rental;
a lender, governmental entity, or other third party that enters into an agreement with a customer to finance a residential solar energy system but is not a party to a system purchase agreement, power purchase agreement, or lease agreement;
a sale or lease of, or the purchase of electricity from, a solar energy system that is not a residential solar energy system; or
the lease of a residential solar energy system or the purchase of power from a residential solar energy system under an agreement providing for payments over a term of less than five years.Disclosure StatementAmended by Chapter 136, 2024 General Session2024Disclosure statement required.At the time of entering a solar agreement, a solar retailer shall provide to a potential customer a separate, written disclosure statement as provided in this section and, as applicable, Sections 13-52-202, 13-52-203, 13-52-204, and 13-52-205.A disclosure statement under Subsection (1) shall:be in paper form;be in at least 12-point font;contain:the name, address, telephone number, and any email address of the potential customer;the name, address, telephone number, and email address of the solar retailer; andthe name, address, telephone number, email address, and state contractor license number of the person who is expected to install the system that is the subject of the solar agreement; andif the solar retailer selected the person who is expected to provide operations or maintenance support to the potential customer or introduced that person to the potential customer, the name, address, telephone number, email address, and state contractor license of the operations or maintenance support person; andinclude applicable information and disclosures as provided in Sections 13-52-202, 13-52-203, 13-52-204, and 13-52-205.Amended by Chapter 415, 2026 General Session2026Contents of disclosure statement for any solar agreement.If a solar retailer is proposing to enter any solar agreement with a potential customer, the disclosure statement required in Subsection 13-52-201(1) shall include:a statement indicating that operations or maintenance services are not included as part of the solar agreement, if those services are not included as part of the solar agreement;if the solar retailer provides any written estimate of the savings the potential customer is projected to realize from the residential solar energy system:the estimated projected savings over the life of the solar agreement; andat the discretion of the solar retailer, the estimated projected savings over any longer period not to exceed the anticipated 20-year useful life of the residential solar energy system;any material assumptions used to calculate estimated projected savings and the source of those assumptions, including:if an annual electricity rate increase is assumed, the rate of the assumed increase, which may not be greater than 3%, and the solar retailer's basis for the assumption of the rate increase;the potential customer's eligibility for or receipt of tax credits or other governmental or utility incentives;residential solar energy system production data, including production degradation;the residential solar energy system's eligibility for interconnection under any net metering or similar program;electrical usage and the residential solar energy system's designed offset of the electrical usage;historical utility costs paid by the potential customer;any rate escalation affecting a payment between the potential customer and the solar retailer; andthe costs associated with replacing equipment making up part of the residential solar energy system or, if those costs are not assumed, a statement indicating that those costs are not assumed; andthree separate statements in capital letters in close proximity to any written estimate of projected savings, with substantially the following form and content:"THIS IS AN ESTIMATE. UTILITY RATES MAY GO UP OR DOWN AND ACTUAL SAVINGS, IF ANY, MAY VARY. HISTORICAL DATA ARE NOT NECESSARILY REPRESENTATIVE OF FUTURE RESULTS. FOR FURTHER INFORMATION REGARDING RATES, CONTACT YOUR LOCAL UTILITY OR THE STATE PUBLIC SERVICE COMMISSION.";"ESTIMATES OF ENERGY PRODUCTION GENERATED BY A RESIDENTIAL SOLAR ENERGY SYSTEM MAY VARY. THE RESIDENTIAL SOLAR ENERGY SYSTEM MAY PRODUCE MORE OR LESS THAN THE ESTIMATED ENERGY PRODUCTION."; and"TAX AND OTHER FEDERAL, STATE, AND LOCAL INCENTIVES VARY AS TO REFUNDABILITY AND ARE SUBJECT TO CHANGE OR TERMINATION BY LEGISLATIVE OR REGULATORY ACTION, WHICH MAY IMPACT SAVINGS ESTIMATES. CONSULT A TAX PROFESSIONAL FOR MORE INFORMATION.";a notice stating: "Legislative or regulatory action may affect or eliminate your ability to sell or get credit for any excess power generated by the solar energy system, and may affect the price or value of that power.";the notice described in Subsection 13-11-4(2)(m) or Subsection 13-26-105(3)(a), if applicable;a statement describing the solar energy system and indicating the solar energy system design assumptions, including the make and model of the solar panels and inverters, solar energy system size, positioning of the panels on the customer's property, estimated first-year energy production, and estimated annual energy production degradation, including the overall percentage degradation over the term of the solar agreement or, at the solar retailer's option, over the estimated useful life of the solar energy system;a description of any warranty, representation, or guarantee of energy production of the solar energy system;the approximate start and completion dates for the installation of the solar energy system;the statement: "The solar retailer may not begin installation of the system until at least four business days after the day on which the solar retailer and customer enter into a contract.";a statement indicating whether the solar retailer may transfer any warranty or maintenance obligations related to the solar energy system to a third party; andif the solar retailer may transfer any warranty or maintenance obligations related to the solar energy system, the statement: "The maintenance and repair obligations under your contract may be assigned or transferred without your consent to a third party who will be bound to all the terms of the contract. If a transfer occurs, you will be notified of any change to the address, email address, or phone number to use for questions or payments or to request solar energy system maintenance or repair.";if the solar retailer will not obtain customer approval to connect the solar energy system to the customer's utility, a statement to that effect and a description of what the customer shall do to interconnect the solar energy system to the utility;a description of any roof penetration warranty or other warranty that the solar retailer provides the customer or a statement, in bold capital letters, that the solar retailer does not provide any warranty;a statement indicating whether the solar retailer will make a fixture filing or other notice in the county real property records covering the solar energy system, including a Notice of Independently Owned Solar Energy System, and any fees or other costs associated with the filing that the solar retailer may charge the customer;a statement in capital letters with the following form and content: "NO EMPLOYEE OR REPRESENTATIVE OF [name of solar retailer] IS AUTHORIZED TO MAKE ANY PROMISE TO YOU THAT IS NOT CONTAINED IN THIS DISCLOSURE STATEMENT CONCERNING COST SAVINGS, TAX BENEFITS, OR GOVERNMENT OR UTILITY INCENTIVES. YOU SHOULD NOT RELY UPON ANY PROMISE OR ESTIMATE THAT IS NOT INCLUDED IN THIS DISCLOSURE STATEMENT.";a statement in capital letters with substantially the following form and content: "[name of solar retailer] IS NOT AFFILIATED WITH ANY UTILITY COMPANY OR GOVERNMENT AGENCY. NO EMPLOYEE OR REPRESENTATIVE OF [name of solar retailer] IS AUTHORIZED TO CLAIM AFFILIATION WITH A UTILITY COMPANY OR GOVERNMENT AGENCY.";a statement with the name and contact information of the person that will perform the installation;a statement that the state may require the potential customer, at full cost to the potential customer, to:test a residential solar energy system for a hazardous substance before disposal; anddispose of a residential solar energy system in accordance with state law or risk a civil penalty up to $10,000 per day for each day of violation;a notice that the solar retailer may not sell the contract to another solar company without express customer approval;a conspicuous list of:finance fees, including those not charged directly to the customer; andsolar energy system operation and maintenance that the customer is obligated to perform to comply with the terms of the guarantee of the minimum energy production; andany additional information, statement, or disclosure the solar retailer considers appropriate, as long as the additional information, statement, or disclosure does not have the purpose or effect of obscuring the disclosures required under this part.Enacted by Chapter 290, 2018 General Session2018Contents of disclosure statement for system purchase agreement.If a solar retailer is proposing to enter a system purchase agreement with a potential customer, the disclosure statement required in Subsection 13-52-201(1) shall include:
a statement with substantially the following form and content: "You are entering an agreement to purchase an energy generation system. You will own the system installed on your property. You may be entitled to federal tax credits because of the purchase. You should consult your tax advisor.";
the price quoted to the potential customer for a cash purchase of the system;
the schedule of required and anticipated payments from the customer to the solar retailer and third parties over the term of the system purchase agreement, including application fees, up-front charges, down payment, scheduled payments under the system purchase agreement, payments at the end of the term of the system purchase agreement, payments for any operations or maintenance contract offered by or through the solar retailer in connection with the system purchase agreement, and payments for replacement of system components likely to require replacement before the end of the useful life of the system as a whole; and
the total of all payments referred to in Subsection (3)(a);
a statement indicating that the cost of insuring the system is not included within the schedule of payments under Subsection (3);
a statement, if applicable, with substantially the following form and content: "You are responsible for obtaining insurance coverage for any loss or damage to the system. You should consult an insurance professional to understand how to protect against the risk of loss or damage to the system. You should also consult your home insurer about the potential impact of installing a system."; and
information about whether the system may be transferred to a purchaser of the home or real property where the system is located and any conditions for a transfer.Enacted by Chapter 290, 2018 General Session2018Contents of disclosure statement for system lease agreement.If a solar retailer is proposing to enter a system lease agreement with a potential customer, the disclosure statement required in Subsection 13-52-201(1) shall include:
a statement with substantially the following form and content: "You are entering an agreement to lease an energy generation system. You will lease (not own) the system installed on your property. You will not be entitled to any federal tax credit associated with the lease.";
information about whether the system lease agreement may be transferred to a purchaser of the home or real property where the system is located and, if so, any conditions for a transfer;
if the solar retailer will not obtain insurance against damage or loss to the system, a statement to that effect and a description of the consequences to the customer if there is damage or loss to the system; and
information about what will happen to the system at the end of the term of the system lease agreement.Enacted by Chapter 290, 2018 General Session2018Contents of disclosure statement for power purchase agreement.If a solar retailer is proposing to enter a power purchase agreement with a potential customer, the disclosure statement required in Subsection 13-52-201(1) shall include:
a statement with substantially the following form and content: "You are entering an agreement to purchase power from an energy generation system. You will not own the system installed on your property. You will not be entitled to any federal tax credit associated with the purchase.";
information about whether the power purchase agreement may be transferred to a purchaser of the home or real property where the system is located and, if so, any conditions for a transfer;
if the solar retailer will not obtain insurance against damage or loss to the system, a statement to that effect and a description of the consequences to the customer if there is damage or loss to the system; and
information about what will happen to the system at the end of the term of the power purchase agreement.Amended by Chapter 181, 2025 General Session2025Good faith estimate -- Obligation to repair.A solar retailer that does not have, at the time of providing a disclosure statement required by Subsection 13-52-201(1), information required under Section 13-52-202, 13-52-203, 13-52-204, or 13-52-205 to be included in the disclosure statement may make a good faith estimate of that information to the customer, if the solar retailer clearly indicates that the information is an estimate and provides the basis for the estimate.For 18 months after the day on which a residential solar energy system begins producing usable power, a customer may notify the solar retailer that the residential solar energy system is producing less than 80% of the solar retailer's good faith estimate of energy production.A solar retailer that receives a notification described in Subsection (2) shall repair or improve a residential solar energy system's performance so that the residential solar energy system produces 90% or more of the original estimated energy production.A solar retailer shall make the repairs or improvements described in Subsection (3)(a) within six months after the day on which the solar retailer receives notification from a customer.A customer that notifies the solar retailer in accordance with Subsection (2) may pursue any other available remedies or rights authorized under the laws of this state.A solar retailer may offer warranty terms that exceed the protection offered by this section.Amended by Chapter 95, 2026 General Session2026Customer ability to cancel solar agreement.A solar retailer shall provide to the customer a copy of the signed solar agreement, including any disclosures required under this chapter:in electronic and in paper form, unless the customer declines the paper copy in writing; andif the solar retailer marketed services for residential solar energy systems to the customer in a language other than English, in that language.A solar agreement is not enforceable against the customer unless the requirements in Subsection (1) are met.A solar retailer may not begin installation of any solar equipment until four business days after the day on which the solar retailer provides the customer the solar agreement described in Subsection (1).If a customer cancels a solar agreement under Subsection 13-11-4(2)(m) or Subsection 13-26-105(3)(a), the solar retailer shall within 10 days:return any check signed by the customer as payment under the terms of the solar agreement; andrefund any money provided by the customer under the terms of the solar agreement.A solar agreement described in Subsection (1) shall clearly:state the customer's right to cancel the solar agreement under this section; andprovide an email address and a mailing address where the customer can send the solar retailer a notice of cancellation of the solar agreement.Subsection (1)(a) only applies to sales where the customer has a right to cancel the purchase as described in Subsection 13-11-4(2)(m) or Subsection 13-2-105(3)(a).EnforcementAmended by Chapter 95, 2026 General Session2026Division enforcement authority -- Administrative fine.Subject to Subsection (2), the division may enforce the provisions of this chapter by:conducting an investigation into an alleged violation of this chapter;issuing a cease and desist order against a further violation of this chapter; imposing an administrative fine of up to $2,500 for each violation of this chapter; andthe division may bring an action in a court of competent jurisdiction to enforce a provision of this chapter.In a court action by the division to enforce a provision of this chapter, the court may:declare that an act or practice violates a provision of this chapter;issue an injunction for a violation of this chapter;order disgorgement of any money received in violation of this chapter;order payment of disgorged money to an injured purchaser or consumer;impose a fine of up to $2,500 for each violation of this chapter; oraward any other relief that the court deems reasonable and necessary.The division shall, in its discretion:deposit an administrative fine collected under Subsection (1)(c) in the Consumer Protection Education and Training Fund created in Section 13-2-109; ordistribute an administrative fine collected under Subsection (1)(c) to a customer adversely affected by the solar retailer's failure or violation resulting in a fine under Subsection (1)(c), if the division has conducted an administrative proceeding resulting in a determination of the appropriateness and amount of any distribution to a customer.Nothing in this chapter may be construed to affect:a remedy a customer has independent of this chapter; orthe division's ability or authority to enforce any other law or regulation.Amended by Chapter 95, 2026 General Session2026Registration and security required.On or after July 1, 2026, a solar retailer may not operate in this state without being registered with the division.Except as provided in Subsection (1)(c), a registration under this section is valid for one year after the day on which the solar retailer registers with the division.The division may extend the period for which a solar retailer's registration is effective by up to six months so that expiration dates are staggered throughout the year.A solar retailer shall submit an application for registration to the division in a manner the division establishes by rule in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, if:the solar retailer's sales representative communicates with customers or potential customers in the state; orthe solar retailer, or the solar retailer's sales representative, conducts any business operations in the state.An application for registration shall designate a registered agent for service of process in this state and include the registered agent's:name;street address;mailing address; andtelephone number.If a solar retailer fails to designate an agent to receive service or fails to appoint a successor to the agent, the division shall deny the solar retailer's application for registration.As a part of the registration, each solar retailer shall submit proof of obtaining and maintaining the following security in a form approved by the division:a performance bond issued by a surety authorized to transact surety business in this state; ora certificate of deposit in a financial institution authorized under the laws of this state or the United States to accept deposits from the public.The division shall impose an annual registration fee set in accordance with Section 63J-1-504 that includes the cost of the criminal background check described in this Subsection (3).To register as a solar retailer, a solar retailer and the solar retailer's participants:may not have been convicted of a felony or misdemeanor involving theft, fraud, or dishonesty, in the 10-year period immediately before the day on which the solar retailer files the application; andshall submit to the division:each participant's fingerprints, in a form acceptable to the division, for purposes of a criminal background check;consent to a criminal background check by:the Bureau of Criminal Identification created in Section 53-10-201; oranother state or federal agency that performs criminal background checks in this state or the United States; andpayment for the cost of the fingerprint card and criminal background check described in Subsections (4)(b)(i) and (ii).A solar retailer shall update registration information within 30 days after the day on which information provided on the application becomes incorrect or incomplete.A solar retailer that is a publicly traded corporation registered with the Securities and Exchange Commission is exempt from the requirements described in Subsection (4).The division may claim a solar retailer's surety bond or certificate of deposit for the benefit of a customer who incurs damages as the result of the solar retailer's failure to comply with this chapter.For purposes of this section, damages incurred by a customer include:labor and materials necessary to complete the installation of a residential solar energy system that is partially installed; anddamage to a customer's home caused during installation or repair of the residential solar energy system.After a customer recovers full damages, the division may recover from the bond or certificate of deposit any administrative fines, civil penalties, investigative costs, attorney fees, and other costs of collecting and distributing funds under this section.A solar retailer shall submit proof of obtaining and maintaining the following in a form the division approves:a surety bond issued by a surety authorized to transact business in this state; ora certificate of deposit in a financial institution authorized under the laws of this state or the laws of the United States to accept deposits from the public.The surety bond or certificate of deposit described in Subsection (9) shall be in the amount of:$100,000 if:the solar retailer or an affiliated person has not violated a chapter the division enforces, as described in Section 13-2-102, in the three-year period immediately before the day on which the solar retailer files the application;the solar retailer has fewer than ten employees; andthe solar retailer sells fewer than 500 kilowatts nameplate capacity annually;$200,000 if:the solar retailer or an affiliated person has not violated a chapter the division enforces, as described in Section 13-2-102, in the three-year period immediately before the day on which the solar retailer files the application;the solar retailer has ten or more employees; orthe solar retailer sells more than 500 kilowatts nameplate capacity annually; or$300,000 if the solar retailer or an affiliated person has violated a chapter the division enforces, as described in Section 13-2-102, the three-year period immediately before the day on which the solar retailer files the application.Beginning July 1, 2026, a solar retailer that operates in this state violates this chapter each time the solar retailer sells a residential solar energy system without first registering with the division.The division director may deny, suspend, or revoke a solar retailer's registration if:a solar retailer or a solar retailer's participant:violates a statute the division enforces within the preceding five years; orfails to pay a fine or comply with a term of settlement with the division;the division claims the solar retailer's bond or certificate of deposit; orthe division receives ten or more complaints from consumers about the solar retailer related to the solar energy system's energy production and finds substantial evidence that the solar retailer has provided good faith estimates for residential solar energy systems that do not produce 80% or more of the solar retailer's estimated energy production.A solar retailer may not:represent that the division or the state endorses or approves the solar retailer;omit from a filing with the division a material statement of fact that this chapter or rule the division makes in accordance with this chapter requires; orinclude in a filing with the division a material statement of fact that the solar retailer or the solar retailer's principal knows or should know is false, deceptive, inaccurate, or misleading.Sales RepresentativeEnacted by Chapter 181, 2025 General Session2025Sales representative relationship.A sales representative shall be an employee of the solar retailer.Financial ObligationsEnacted by Chapter 181, 2025 General Session2025Customer financial obligations.A customer shall pay, on the date provided in the solar agreement, the costs of the solar energy system's:design, not to exceed the greater of $1,500 or 3% of the total cost of the solar agreement;equipment procurement, not to exceed 25% of the total cost of the solar agreement; andinstallation, not to exceed 80% of the total cost of the solar agreement inclusive of payments due in accordance with Subsections (1)(a) and (1)(b).A solar retailer may not collect the remaining balance of the solar agreement from a customer until the residential solar energy system is producing usable energy.