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Checked October 21, 2026: Climax Solar (Orbit Marketing, LLC of Portage, Michigan) is in a Chapter 7 liquidation, Bankr. W.D. Mich. case 24-01123.[4] On July 15, 2026 the Michigan Attorney General sued Climax, its owner and eight finance companies in federal court, case 1:26-cv-02084.[1][3] The suit is pending. If you financed, you still pay the lender on your statement while it runs.
| Company | Orbit Marketing, LLC d/b/a Climax Solar, a Michigan LLC operating in Portage, Michigan[2] |
|---|---|
| Bankruptcy court | U.S. Bankruptcy Court, Western District of Michigan, Judge Scott W. Dales[4] |
| Bankruptcy case | 24-01123, Chapter 11 filed April 27, 2024; converted to Chapter 7 August 14, 2024[4] |
| Trustee | Kelly M. Hagan, Chapter 7 trustee[4] |
| AG lawsuit | People of the State of Michigan v. Orbit Marketing, LLC, et al., W.D. Mich. No. 1:26-cv-02084, filed July 15, 2026, Judge Jane M. Beckering[2][3] |
| Lawsuit status | Pending. Several defendants filed motions to dismiss on October 16, 2026; no ruling on the docket[3] |
| Customers affected | About 1,700 Michigan consumers and an estimated $81 million in financed sales, according to the Attorney General[1] |
| Who handles your contract now | Your lender, the company on your monthly statement (see the lender table below) |
If your loan is from any lender except Tesla, our partner Solar Exit Group (Uso Holdings LLC) may be able to help. No cost to submit. Paid partner; it does not change our ratings.
Case status: Chapter 7 since August 2024
Orbit Marketing, LLC, which did business as Climax Solar, filed a voluntary Chapter 11 petition in the U.S. Bankruptcy Court for the Western District of Michigan on April 27, 2024, case 24-01123. In July 2024 the U.S. Trustee moved to convert the case, and on August 14, 2024 the court converted it to a Chapter 7 liquidation and added Kelly M. Hagan as trustee.[4] The Attorney General's complaint names Climax through that trustee.[2]
Climax sold residential solar systems through in-home sales presentations in Michigan. Local news has described it as a bankrupt Portage solar company, and customers who complained to the Attorney General have spoken publicly about their experience.[1][5] Our bankruptcy register row for Climax Solar tracks the case alongside 87 other failed solar companies.
| Date | Event | Source |
|---|---|---|
| Apr 27, 2024 | Orbit Marketing, LLC files Chapter 11, case 24-01123 | [4] |
| May 30, 2024 | Chapter 11 meeting of creditors set (held, per a May 31 docket entry) | [4] |
| Jul 29, 2024 | U.S. Trustee files a motion to convert the case to Chapter 7 | [4] |
| Aug 14, 2024 | Order converting the case to Chapter 7; trustee Kelly M. Hagan added | [4] |
| Sep 11, 2024 | Chapter 7 meeting of creditors (341 meeting) set by Zoom | [4] |
| Jan to Apr 2025 | Trustee reports sales of real estate, including properties in Springfield and Climax, Michigan, and of vehicles | [4] |
| Jun 11, 2025 | Trustee asks the court to approve a compromise of the estate's claims against owner Joshua Thompson | [4] |
| Jul 15, 2026 | Michigan AG files suit, W.D. Mich. No. 1:26-cv-02084 | [2][3] |
| Jul 22, 2026 | Trustee files an interim report in the bankruptcy case | [4] |
| Oct 16, 2026 | Several defendants file motions to dismiss the AG suit | [3] |
In plain terms: Climax Solar is not coming back. The trustee is selling what the company owned and will pay creditors in the order the law sets. The bankruptcy does not touch your loan, because your lender is a separate company.
The Michigan AG lawsuit against Climax Solar and its lenders
On July 15, 2026, Michigan Attorney General Dana Nessel filed a public enforcement lawsuit in the U.S. District Court for the Western District of Michigan against Climax Solar, its owner Joshua Thompson, and the finance companies that funded Climax customers' purchases.[1][2] Everything in this section is what the complaint alleges. None of it has been proven, and the defendants can contest it.
- The alleged scheme: the complaint calls it "Pitch, Sign, Fund, Fail, Collect." It alleges consumers were rushed through electronic contracts and financing documents in a single in-home visit, and lenders released funds on paperwork and interim milestones before systems were finished, connected or approved by the utility.[1][2]
- The alleged harm: unfinished, underperforming, unsafe or never-activated systems, property damage, missing permits, failed inspections and unfulfilled rebates, while consumers kept paying both their utility bills and their solar loans.[1]
- Hidden finance charges: the AG alleges more than $22 million in dealer fees, platform fees and similar charges were built into system prices without being disclosed as finance charges, averaging more than 27% of the amount financed.[1][2]
- After the bankruptcy: the AG alleges some lenders closed consumer complaints, told homeowners to keep working with Climax, or kept treating the debts as collectible after Climax stopped operating.[1]
- Claims: the federal Consumer Financial Protection Act, the Michigan Consumer Protection Act and the Michigan Home Solicitation Sales Act, plus common-law fraud and unjust enrichment.[1]
- What the AG asks for: an order stopping the practices, restitution, cancellation or revision of certain loans, refunds or account credits, credit report corrections, release of liens or UCC filings, and civil penalties where authorized.[1]
The complaint says it is a public enforcement action and does not seek certification of a class.[2] So you do not need to "join" it to be covered by any relief the court grants, but it is also not a private class action that pays claimants on a set schedule.
Which lenders financed Climax Solar systems
The complaint lists the lenders and finance channels behind 1,689 Climax-originated Michigan loans totaling about $81.26 million.[2] Find the name on your statement:
| Finance channel | Loans | In the lawsuit? |
|---|---|---|
| Enium Capital Group | 548 | Defendant |
| EnerBank USA (via Concert Finance) | 305 | Defendant (Regions Bank, EnerBank's successor by merger, and TriBeam Capital d/b/a Concert Finance) |
| Cross River Bank (via Sunlight) | 259 | Defendant (Cross River Bank and Sunlight Financial) |
| Sunlight Financial | 233 | Defendant |
| Mosaic | 200 | Defendant (Solar Mosaic, named through its bankruptcy plan administrator) |
| Dividend Finance | 78 | Not a defendant; the State says it is pursuing Dividend-related relief in separate litigation |
| Sunnova | 57 | Defendant (named through the trustee of the Sunnova Creditor Trust) |
| Community First (now Harborstone Credit Union) | 9 | Defendant (Harborstone, Community 1st Credit Union's successor by merger) |
Our lender guides explain who collects each of these loans today: Sunlight Financial, EnerBank (Regions), Mosaic, Dividend Finance and Sunnova. Not sure which one you have? Use our who services my solar loan lookup.
If you have a loan: keep paying, and dispute in writing
- The loan survives the bankruptcy. Your lender is not a debtor in the Orbit Marketing case, so the bankruptcy does not cancel the loan. The AG lawsuit asks the court to cancel or revise certain loans, but no court has ordered that.[1][3]
- If the system never worked or was never finished, the FTC Holder Rule may let you raise that against the lender. A seller-arranged consumer credit contract must say that any holder is subject to the claims and defenses you could raise against the seller, with recovery capped at what you paid under the contract.[6] Put the problem in writing to the lender, with photos, inspection reports and dates.
- Report it to the AG. The Attorney General asks Michigan residents who signed with Climax and believe they were deceived to contact its Consumer Protection Team (details below).[1]
- To exit a working system's loan, the usual routes are payoff, refinance or selling the house. See how to get out of a solar loan, and after a payoff, solar UCC lien removal.
Still paying a solar loan (not Tesla)? See if a solar exit company can take your case. Free to check, no obligation, not legal advice. We may earn compensation when you contact companies through our site. This does not change our ratings.
Get matched with a solar exit companyWe do not advise homeowners to stop making payments or breach contractual obligations. A dispute is raised in writing while you keep paying; missed payments can damage your credit and weaken your position.
If you paid cash
You own the system and owe no lender. What you lost is Climax's workmanship warranty and service. If Climax owed you money, that was a claim in the bankruptcy: the docket shows the court set a proof of claim deadline in September 2024 after a notice of possible dividends.[4] The deadline date itself is in the court notice, which we have not seen; check PACER or ask a bankruptcy attorney before you file anything.
Who to contact now
| Your problem | Who to contact |
|---|---|
| Payments, payoff, a system that never worked | Your lender (the company on your statement) |
| You believe you were deceived by Climax | Michigan AG Consumer Protection Team, P.O. Box 30213, Lansing, MI 48909; 517-335-7599; toll-free 877-765-8388; online complaint form[1] |
| Money Climax owed you | Chapter 7 trustee Kelly M. Hagan, through the court record, Bankr. W.D. Mich. case 24-01123[4] |
| The lawsuit record | W.D. Mich. No. 1:26-cv-02084 (PACER, or the free CourtListener docket)[3] |
| Repairs and roof leaks | A licensed local installer; see solar repair after bankruptcy |
| A lender that will not respond | The CFPB, which takes complaints about personal (installment) loans[8] |
Warranty and repairs after Climax Solar
Climax ceased operations in 2024, so its own workmanship warranty is effectively gone.[1]
- Equipment warranties survive. Panel, inverter and battery warranties come from the manufacturers. Register directly with each one: warranty after installer bankruptcy.
- Repairs and permits: if your system never got permission to operate, a licensed installer can tell you what is missing. What to ask and what it costs: solar repair after bankruptcy and solar panel repair cost. Michigan rules: Michigan solar panel laws.
Can you still sue Climax Solar?
A bankruptcy filing automatically stays most lawsuits against the debtor on claims from before the filing.[7] So a claim against Climax itself generally runs through the bankruptcy case. A claim against your lender is a separate question; the AG suit is one route, and a consumer attorney can tell you whether you have your own.
Checklist
- Write down the lender on your monthly statement. That is who you owe.
- Save your contract, loan documents, permits, inspection reports and every message with Climax.
- Keep paying while you dispute in writing.
- File a complaint with the Michigan AG if you believe you were deceived.
- Check your credit reports for the solar loan and dispute errors.
- Register panel and inverter warranties with each manufacturer.
- Talk to a consumer attorney if the lender will not respond.
Disclosure: We may earn compensation when you contact companies through our site. This does not change our ratings. Our partner for solar loans (all lenders except Tesla) and Sunnova PPAs is Uso Holdings LLC d/b/a Solar Exit Group; see authorized partners. SolarPanelExit.com is not affiliated with Climax Solar, Orbit Marketing, LLC, its bankruptcy trustee, the Michigan Attorney General or any lender named in the lawsuit.
Frequently asked questions
Is Climax Solar still in business?
No. Climax Solar was a trade name of Orbit Marketing, LLC of Portage, Michigan. It filed Chapter 11 on April 27, 2024, the court converted the case to a Chapter 7 liquidation on August 14, 2024, and the Michigan Attorney General says Climax ceased operations in 2024.
Who is being sued in the Climax Solar lawsuit?
The Michigan Attorney General sued Orbit Marketing, LLC d/b/a Climax Solar (through its bankruptcy trustee), owner Joshua Thompson, and eight finance companies: Enium Capital Group, Sunlight Financial, Cross River Bank, TriBeam Capital d/b/a Concert Finance, Regions Bank d/b/a EnerBank USA, Solar Mosaic, Sunnova Energy International and Harborstone Credit Union. The claims are allegations, not findings.
What is the Climax Solar lawsuit case number?
People of the State of Michigan v. Orbit Marketing, LLC, et al., U.S. District Court for the Western District of Michigan, No. 1:26-cv-02084, filed July 15, 2026 and assigned to Judge Jane M. Beckering.
Do I still have to pay my Climax Solar loan?
Generally yes, until a court or your lender says otherwise. The loan is owed to your lender, not to Climax, and the bankruptcy does not cancel it. We do not advise homeowners to stop making payments or breach contractual obligations. Put any problem with the system in writing to the lender.
Will the lawsuit cancel my Climax Solar loan?
Not automatically. The Attorney General is asking the court for restitution, cancellation or revision of certain loans, credit report corrections and lien releases, but no court has granted that relief. As of October 21, 2026 several defendants had filed motions to dismiss and no ruling was on the docket.
How do I contact the Michigan Attorney General about Climax Solar?
The AG asks Climax customers to contact its Consumer Protection Team at P.O. Box 30213, Lansing, MI 48909, 517-335-7599 or toll-free 877-765-8388, or to use its online complaint form.
Who is the Climax Solar bankruptcy trustee?
Kelly M. Hagan is the Chapter 7 trustee in In re Orbit Marketing, LLC, Bankr. W.D. Mich. No. 24-01123, before Judge Scott W. Dales.
Still paying a solar loan (not Tesla) or a Sunnova PPA? See if our partner Solar Exit Group can help. No cost to submit. Paid partner; it does not change our ratings.
Sources
Checked October 21, 2026. Court dates and servicer details change; confirm on the linked primary source before you act.
- AG releaseMichigan Department of Attorney General, AG Nessel files lawsuit against solar company, financial institutions for alleged deceptive scheme (July 15, 2026)
- Court filingComplaint, People of the State of Michigan v. Orbit Marketing, LLC d/b/a Climax Solar et al., W.D. Mich. No. 1:26-cv-02084 (filed July 15, 2026), posted by the Michigan AG
- Court docketCourtListener, Michigan, State of v. Orbit Marketing, LLC, W.D. Mich. No. 1:26-cv-02084
- Court docketCourtListener, In re Orbit Marketing, LLC, Bankr. W.D. Mich. No. 24-01123
- NewsWWMT, Michigan AG lawsuit against Portage solar company Climax Solar and its lenders (Aug. 15, 2026)
- Regulation16 CFR 433.2, FTC Holder Rule notice (Cornell LII)
- Statute11 U.S.C. 362, Automatic stay (Cornell LII)
- RegulatorCFPB, Submit a complaint
Disclaimer: This article is general information, not legal or financial advice, and does not create an attorney-client relationship. Results vary by individual situation. We do not advise homeowners to stop making payments or breach contractual obligations. Consult a qualified attorney licensed in your state before acting on your solar contract or loan. We may earn compensation when you contact companies through our site. This does not change our ratings. Solar Exit Group (Uso Holdings LLC) is a paid partner; see authorized partners. See our Ownership Disclosure, Advertiser Disclosure and Methodology.