Illinois Solar Panel Laws: Your Rights & How to Exit a Solar Contract

Illinois homeowners who sign solar contracts generally have at least 3 federal business days to cancel under the FTC Cooling-Off Rule, and Illinois's Home Repair and Remodeling Act may provide a 5-business-day cancellation window for qualifying home solicitation transactions. The Illinois Consumer Fraud and Deceptive Business Practices Act (815 ILCS 505/1 et seq.) is one of the nation's strongest consumer protection statutes. Combined with robust net metering and the state's commitment to renewable energy through CEJA, Illinois homeowners have significant protections. We always recommend consulting a qualified Illinois attorney before taking action.

Right to Cancel / Cooling-Off Period in Illinois

Federal FTC Cooling-Off Rule (3 Business Days)

The FTC's Cooling-Off Rule generally provides Illinois homeowners with 3 business days to cancel a home solicitation sale. Door-to-door solar sales are extremely common throughout Illinois: especially in the Chicago metro area, Springfield, Peoria, Rockford, and the collar counties.

Illinois Home Solicitation Rule (3 Business Days)

Illinois's own home-solicitation provision, 815 ILCS 505/2B, mirrors the federal window at 3 full business days from the day the contract was signed. Importantly, that period does not begin to run until the seller has furnished a written Notice of Cancellation together with the address to which notice can be sent. Where a door-to-door solar seller skipped that step, in our experience a common failure, the window may still be open.

Buyers 65 and Older: 15 Business Days

This is the provision most Illinois homeowners do not know about. Under the Home Repair and Remodeling Act (815 ILCS 513/22, Senior citizen; right of cancellation), a person age 65 or older who buys home repair or remodeling services from an uninvited solicitor at their home may cancel by notifying the contractor within 15 full business days after signing. Where a solar installation is sold door-to-door and qualifies as home repair or remodeling, that is five times the federal window.

One clarification, because it is widely misreported: the Act's five-business-day provision is not a general solar cancellation right. It applies to contracts to be paid from property and casualty insurance proceeds: storm or fire restoration work, and generally does not apply to an ordinary residential solar sale.

Illinois Door-to-Door Sales Registration Act

Illinois also has the Consumer Fraud and Deceptive Business Practices Act provisions (815 ILCS 505/2B) that address door-to-door solicitation. Companies engaging in door-to-door sales may be required to register with the Illinois Attorney General's office. Failure to register may itself constitute a violation.

Illinois Statute of Limitations

For written contract claims, the Illinois statute of limitations is generally 10 years under 735 ILCS 5/13-206. For fraud, it is typically 5 years. For ICFA claims, the limitation is generally 3 years. Act promptly to preserve your options.

Illinois Consumer Protection Laws Relevant to Solar

Illinois Consumer Fraud and Deceptive Business Practices Act (ICFA)

The ICFA (815 ILCS 505/1 et seq.) is one of the most powerful consumer protection statutes in the country. Under the ICFA, homeowners may have grounds for action if the solar company engaged in:

• Unfair or deceptive acts or practices: including overstating energy production, misrepresenting savings, or concealing material contract terms
• Concealment, suppression, or omission of material facts: failing to disclose escalator clauses, UCC liens, or the true cost of the agreement
• Violation of other state or federal laws: the ICFA can be used to create a private right of action for violations of other consumer protection statutes

Under the ICFA, consumers may recover actual damages and attorney's fees and costs under 815 ILCS 505/10a. The Illinois Attorney General may also seek civil penalties of up to $50,000 per violation.

Illinois Solar for All and Consumer Protections

The Climate and Equitable Jobs Act (CEJA) established Solar for All and other programs with specific consumer protection provisions for participants. If you enrolled in a solar program through these state-sponsored initiatives, additional protections may apply.

Federal Truth in Lending Act (TILA)

If your solar agreement involves financing, TILA provides additional protections including potential rescission rights.

Solar-Specific Regulations in Illinois

Net Metering in Illinois

Illinois has net metering requirements for qualifying utilities. Key aspects:

• Net metering availability: ComEd, Ameren Illinois, and other utilities are generally required to offer net metering to qualifying residential solar customers
• Credit structure: excess generation is typically credited at the full retail rate under Illinois net metering rules
• System size limits: residential systems are generally eligible for net metering up to 25 kW (some provisions allow larger systems)
• Annual true-up: excess credits may be settled annually

Illinois Commerce Commission (ICC)

The ICC regulates investor-owned utilities and has jurisdiction over net metering, interconnection, and rate structures:

• Net metering rules: ICC rules govern how utilities implement net metering
• Interconnection standards: requirements for connecting solar to the grid
• Consumer complaints: the ICC accepts complaints about utility practices

Illinois Adjustable Block Program and SRECs

Illinois's Adjustable Block Program (administered by the Illinois Power Agency) provides incentive payments for qualifying solar systems. Homeowners may receive upfront payments or ongoing incentives based on system production. If the solar company misrepresented the availability or value of these incentives, this could support a consumer protection claim.

Illinois Solar Access

Illinois law (765 ILCS 165/) provides solar access protections. HOAs in Illinois generally cannot prohibit solar installations, though reasonable aesthetic requirements may be imposed. This is important protection for Illinois homeowners.

Illinois Property Tax

Illinois provides a special assessment for solar energy systems, which may limit the property tax impact of solar installations. If the solar company made inaccurate property tax claims, this could be relevant.

Common Solar Contract Issues in Illinois

How to Exit a Solar Contract in Illinois. Step by Step

Step 1: Gather Your Documents

• Your original solar contract (lease, PPA, or loan agreement)
• Marketing materials, written estimates, and incentive promises
• Records of verbal promises during the sales presentation
• Electricity bills from before and after installation
• Correspondence with the solar company
• Actual energy production data

Step 2: Determine Your Cancellation Window

• Within 3 business days (home solicitation), or 15 business days if you are 65+ and were solicited uninvited at home: Send cancellation notice via certified mail. Reference the FTC Cooling-Off Rule, 815 ILCS 505/2B, and, if you are 65+, 815 ILCS 513/22
• Before installation: Check for pre-installation cancellation clause. Pre-installation cancellation guide →
• After installation: Proceed to Steps 3-5

Step 3: Review Your Contract for Exit Provisions

• Termination clause: early termination with buyout
• Performance guarantees: grounds for relief if underperforming
• Incentive provisions: verify incentive commitments match actual availability
• Transfer provisions: options if selling your home

Step 4: Evaluate ICFA Claims

• Overstated energy production or savings
• Misrepresented state incentives or SREC values
• Failure to disclose escalator clauses
• Failure to comply with Home Repair and Remodeling Act
• Failure to disclose UCC-1 liens
• Failure to register as door-to-door seller

Step 5: Send a Formal Demand

Your attorney will send a demand letter. The potential for actual damages and attorney's fees under the ICFA creates strong incentive for companies to negotiate.

Step 6: Consider Professional Exit Services

Compare solar cancellation companies →

Illinois Consumer Protection Agencies & Resources

Frequently Asked Questions About Illinois Solar Panel Laws