ADT Solar, once a prominent player in the residential solar industry, has announced its exit from the market. This decision has left many customers wondering: What happens to my solar panels, warranties, and ongoing maintenance? 

In this article, we’ll explore the reasons behind ADT Solar’s closure, its impact on customers, and what you can do to protect your investment.

Why Did ADT Solar Go Out of Business?

ADT Solar, originally Sunpro Solar, was acquired by ADT in 2021 for 160millionincashand160millionincashand825 million in total enterprise value. Despite its initial success, the company faced significant challenges, including:

• Operational difficulties: Struggles with installation timelines and customer service.
• Macroeconomic headwinds: Rising interest rates and industry-wide challenges.
• Financial losses: ADT Solar reported an $89 million adjusted EBITDA loss in the first nine months of 2023.

These factors led ADT to close 22 of its 38 branches in November 2023 and ultimately exit the residential solar business entirely.

What Happens to ADT Solar Customers?

Warranties and Maintenance

ADT has assured customers that it will honour its 25-year limited Workmanship Warranty and 25-year Power Production Guarantee. Manufacturer warranties for panels, inverters, and mounting systems also remain unchanged. However, customers have reported delays in service and difficulty reaching support.

Solar Leases and Loans

If you financed your solar system through ADT, your lease or loan may be transferred to another company. Check your contract for details.

Ongoing Maintenance

For maintenance, customers may need to turn to third-party solar operations and management companies. Ensure these companies are reputable and certified.

Key Facts About ADT Solar’s Closure

Fact	Details
Acquisition Date	2021 (Sunpro Solar rebranded as ADT Solar)
Total Enterprise Value	$825 million
Branches Closed	22 of 38 branches closed in November 2023
Financial Loss	$89 million adjusted EBITDA loss in the first nine months of 2023
Warranty Status	25-year warranties honored; manufacturer warranties remain valid

Pros and Cons of ADT Solar’s Closure

Pros

• Warranties Honored: ADT has committed to honouring existing warranties.
• Industry Awareness: Highlights the importance of choosing reliable solar providers.

Cons

• Service Delays: Customers report long wait times for maintenance and support.
• Uncertainty: Lack of clear communication about the transition process.

How to Protect Your Solar Investment

1. Review Your Contract

Check your warranty terms and financing agreements. Look for clauses about company closures and warranty transfers.

2. Contact the Manufacturer

Reach out to the manufacturer of your solar panels or inverters for support and warranty claims.

3. Find a Reputable Maintenance Provider

Research third-party solar maintenance companies with strong reviews and certifications.

4. Monitor Your System

Keep an eye on your system’s performance. Use monitoring tools to detect issues early.

5. Seek Legal Advice if Necessary

If you face unresolved issues, consult a lawyer specializing in consumer protection or solar contracts.

Conclusion

ADT Solar’s exit from the residential solar market has left many customers in a challenging position. While warranties remain intact, delays in service and maintenance are a growing concern. By reviewing your contract, contacting manufacturers, and finding reputable maintenance providers, you can protect your solar investment and ensure your system continues to operate efficiently.

For those considering solar panels, this situation underscores the importance of choosing a reliable installer with a strong track record.

FAQs

1. Will ADT Solar honor my warranty?

Yes, ADT has stated it will honour its 25-year warranties, and manufacturer warranties remain valid.

2. What happens to my solar lease or loan?

Your lease or loan may be transferred to another company. Review your contract for details.

3. How can I get maintenance for my solar panels?

Contact third-party solar maintenance companies or the manufacturer of your panels for support.

4. What should I do if I’m unhappy with ADT Solar’s service?

Consider seeking legal advice or filing a complaint with consumer protection agencies.

5. Are there other solar companies I can switch to?

Yes, companies like Palmetto Solar and other reputable providers are available.