Solar Panel Liens

“Is there a lien on my home?”

That depends. In most cases, the loan company has paid the solar panel company and issued a UCC-1 Financing Statement in connection with the solar panel system. While technically this is not a lien on your home, it can impact various aspects of your home, e.g. if you attempt to sell your house the loan company can take money from the sale based on how much money you owe on the loan.

Sometimes, the solar panel company itself will place a mechanic’s lien on your home. If that happens, it’s imperative to seek immediate legal counsel to prevent the possible sale of your home.

“How do I get rid of the lien?”

To remove the lien, the holder of the UCC-1 Financing Statement has to file paperwork to terminate the lien. Alternatively, if you were defrauded, you can seek a judgment in court to terminate and cancel the loan and lien.

“Can they take my home if I can’t make the payments?”

That depends. If you fail to make payments to the loan company, they typically do not have legal recourse to take your home. However, the company that installed your solar panels may have legal grounds to file a mechanic’s lien on your home and seek foreclosure.