Solgen Power Lawsuit: Fraud, TILA Case, and Bankruptcy

The Solgen Power lawsuit landscape spans consumer fraud claims, a federal Truth in Lending Act case, a Washington noncompete class action, and hundreds of thousands of dollars in state workplace safety penalties. The Pasco, Washington solar installer, which later operated as Purelight Power after a 2024 merger, filed for Chapter 7 bankruptcy on December 30, 2025, effectively ending customer recourse against the company itself and leaving thousands of homeowners without warranty support.1Tri-Cities Business News. Solgen Permanently Ceasing All Operations

Consumer Fraud Allegations Against Solgen

Customer complaints against Solgen Power began building in 2022 and followed a consistent pattern in Better Business Bureau filings and news reports. Sales representatives allegedly promised systems that would “virtually eliminate” electricity bills, then installed systems that underperformed sharply from day one.2Better Business Bureau. Solgen Power LLC Complaints Customers described high-pressure tactics, including claims that interest rates would double the next day if they didn’t sign immediately.

Financing was a second recurring grievance. Customers said Solgen failed to disclose ongoing utility grid-connection fees and loan structures with interest-only periods that would balloon monthly payments if the federal tax credit wasn’t applied to principal. Some received flat-rate bids instead of itemized invoices, leaving them without the documentation their accountants needed to claim the 30% federal energy credit.

Installation quality drew separate complaints: improper furnace ventilation, fire hazards from insulation work, faulty wiring causing flickering lights and blown breakers, and roof leaks caused by panel mounts. Multiple customers alleged the company required them to sign nondisclosure agreements as a condition of receiving promised compensation or repairs.

The Cummins Case

Seattle attorney Christina Henry filed a federal suit on behalf of a Longview, Washington couple identified as Mr. and Mrs. Cummins. The complaint alleged Solgen deceived them into buying an expensive 77-panel system by misrepresenting the electricity savings. Solgen allegedly claimed the system would cut their bills by more than 85%; the couple said they saw only $15 to $20 in monthly savings and alleged a defective product. The case settled out of court after mediation in January 2024, and Washington lawmakers later cited it as an example while passing a solar consumer protection bill.3Washington State Standard. Washington Lawmakers Move to Rein in Unscrupulous Rooftop Solar Companies

McGair v. Solgen Power: The Truth in Lending Case

In February 2023, a federal case titled McGair v. Solgen Power LLC was filed in the U.S. District Court for the District of Oregon. It named both Solgen Power and Verity Credit Union as defendants and alleged violations of the federal Truth in Lending Act. The parties settled, and a stipulated judgment of dismissal was filed on July 4, 2023.4CourtListener. McGair v. Solgen Power LLC Reporting indicates Solgen faced other suits across multiple states alleging fraudulent misrepresentation, negligence, deceptive sales practices targeting elderly customers, and low-quality workmanship.5NewsTalk 870. Solgen Shuts Down in WA

The Noncompete Class Action

On May 19, 2023, former Solgen solar installation inspector Ethan Saraceno-Oliveri filed a proposed class action in King County Superior Court in Seattle. The case, Saraceno-Oliveri v. Solgen Power, LLC et al. (Case No. 23-2-09228-7), alleged Solgen violated Washington’s noncompete statute, RCW 49.62, by making employees sign noncompetition agreements even though their pay fell well below the state’s minimum salary threshold for enforceable noncompetes.6ClassAction.org. Solar Energy Company Solgen Power Violated Washington Non-Compete Law, Class Action Alleges

For 2023, that threshold was $116,593 per year. Saraceno-Oliveri alleged he earned less than $100,000 annually and was nonetheless barred from working for competitors during his employment and for two years after. The suit also challenged the company’s rule prohibiting employees earning less than twice the state minimum wage from holding second jobs.7ClassAction.org. Saraceno-Oliveri v. Solgen Power LLC Complaint The proposed class covered current or former Washington employees who signed a noncompete on or after May 19, 2020, and earned below the applicable threshold. According to the firm that handled the case, it secured payments to the class.8The National Trial Lawyers. Timothy Emery

Workplace Safety Penalties

Washington’s Department of Labor & Industries conducted 11 inspections of Solgen Power, later operating as Purelight Power, starting in 2021. Every inspection found fall-protection problems. The fines stacked up quickly.

  • 2024, Battle Ground: $66,000 for a repeat serious violation involving workers without fall protection. The company appealed; the fine was upheld.9Washington State Department of Labor & Industries. Purelight Power Fined for Repeat Fall Safety Violations
  • January 2025, Clarkston: $105,600 for workers installing panels without fall protection and misusing ladders. Not appealed.
  • February 2025, Tacoma: $99,000 after three workers were found repairing panels up to 20 feet off the ground without fall protection. Appealed.
  • July 2025, Vancouver: $253,823, the largest single penalty, after inspectors observed two workers 15 feet up on a steep-pitched roof with no fall-protection gear. The citation included four willful serious violations plus additional citations for ladder misuse, inadequate training, and lack of a written fall-protection plan.10Washington State Department of Labor & Industries. Citation Document – Inspection 317984500

By August 2025, the company owed more than $460,000 in outstanding safety penalties. Because fines are not required to be paid while under appeal, much of that total remained uncollected when the company shut down.

Shutdown and Chapter 7 Bankruptcy

On December 23, 2025, CEO JD Beck filed WARN Act notices with Oregon and Washington officials announcing Purelight Power was closing immediately. In Oregon, 96 employees were laid off on December 23 and 13 more by December 26. In Washington, 106 workers lost their jobs. The company had operated in nine states: Idaho, Iowa, Kentucky, Minnesota, Montana, Ohio, Oregon, Utah, and Washington.11Solar Power World. Residential Installer Purelight Power Shutters Operations

Beck blamed the collapse primarily on the “One Big Beautiful Bill Act” (H.R. 1), signed July 4, 2025, which cut federal solar tax credits. He also cited high interest rates, rising advertising costs, and complications from the 2024 merger between Solgen and the Oregon-based Purelight Power. The company’s lender declared it in default after rejecting three potential buyout offers and agreed only to fund the liquidation.1Tri-Cities Business News. Solgen Permanently Ceasing All Operations

On December 30, 2025, Solgen filed for Chapter 7 liquidation in the U.S. Bankruptcy Court for the Eastern District of Washington. The filing covered 12 debtor entities and was consolidated for joint administration under lead case Purelight Newco, LLC (Case No. 25-02261).12BKAlerts. Bankruptcy Case – Solgen Power LLC The company listed between 25,000 and 50,000 creditors and asked the court to seal documents containing personal information of more than 20,000 customers and 3,000 employees. The U.S. Department of Justice objected to the sealing request, calling it “overbroad and procedurally deficient.”13Tri-Cities Business News. Solgen Files for Bankruptcy Ceases Operations

Kevin D. O’Rourke of Southwell & O’Rourke, P.S., in Spokane was appointed Chapter 7 trustee.14U.S. Bankruptcy Court, Eastern District of Washington. Bankruptcy Trustees As of mid-2026, the trustee is administering the estate, with hearings scheduled on contested creditor claims.

What Customers Can Do Now

If you’re a Solgen or Purelight customer, the company’s installation warranty is effectively worthless in a Chapter 7 liquidation. Automated messages from the company have directed service inquiries to the trustee’s Spokane address. Competitors reported being contacted almost immediately by former customers looking for help with their systems.11Solar Power World. Residential Installer Purelight Power Shutters Operations

The panels, inverters, and other hardware typically carry independent manufacturer warranties that survive the installer’s bankruptcy. Check your original contract for the brands and model numbers, then contact those manufacturers directly to register claims. If your installation was financed, the finance company remains your counterparty on the loan; some finance companies have told customers to find alternative contractors to complete unfinished work, though significant confusion remains about how those obligations will be handled during liquidation. If you paid deposits or hold claims against the company itself, those become creditor claims in the bankruptcy case administered by the trustee.