Sunnova Bankruptcy — What Happens to Your Solar Contract (2026)

Sunnova Energy International filed for Chapter 11 bankruptcy protection in early 2025, making it the largest solar company to enter bankruptcy proceedings since SunEdison in 2016. If you have a Sunnova solar lease, PPA, or loan, you're likely wondering what this means for your system, your contract, your warranty, and any unresolved disputes. Here's a comprehensive guide to what the Sunnova bankruptcy means for homeowners.

Will My Sunnova System Keep Working?

In a Chapter 11 reorganization, the company continues operating while it develops a reorganization plan. Sunnova's solar systems are expected to continue operating during the bankruptcy process. The company has stated that customer contracts will be honored and systems will continue to receive monitoring and service. However, "expected to continue" and "will continue at the same quality level" are different things — homeowners should monitor their system performance carefully during this period and document any service degradation.

What Happens to Your Sunnova Warranty?

Warranty claims filed during bankruptcy are typically treated as pre-petition claims (if they relate to problems that existed before the filing) or administrative claims (if they arise after the filing). This distinction matters for how your claim gets paid in the reorganization. Unresolved warranty claims — roof damage, equipment failures, production guarantee shortfalls — should be documented carefully and filed as proofs of claim before the bankruptcy court's deadline. Missing that deadline can permanently eliminate your right to recover.

See the guide on what to do when your solar company goes out of business for the general framework that applies to Sunnova's bankruptcy situation.

What Happens to Your Sunnova Contract?

In Chapter 11, the debtor company (Sunnova) has the ability to assume or reject executory contracts (ongoing contracts with performance obligations on both sides). If Sunnova assumes your lease or PPA, it must cure any defaults and continue performing. If Sunnova rejects your contract, you become an unsecured creditor with a damage claim. For most homeowners, contract assumption and continuation is the most likely outcome, but it's worth monitoring the bankruptcy docket.

If Sunnova is acquired through the bankruptcy process, the acquirer typically assumes customer contracts. This is what happened with SunEdison — its residential portfolio was acquired and contracts continued. But the acquirer may have different service standards, and homeowners should understand any changes to their agreement terms.

What You Should Do Right Now

Step 1: Monitor the bankruptcy docket. The Sunnova bankruptcy case is filed in federal bankruptcy court. The case number and court location are on PACER (pacer.gov). Watch for the proof-of-claim bar date — this is the deadline for filing claims. Step 2: Document everything. Photograph your system, pull your monitoring data, pull your utility bills, and write down every unresolved issue with Sunnova. Step 3: File a proof of claim if you have an unresolved monetary claim — warranty damage, production guarantee shortfall, misrepresentation damage. Step 4: File regulatory complaints. State AG and CFPB complaints are still valid during bankruptcy proceedings and may produce faster results than waiting for the bankruptcy process. See what to do when your solar company stops responding.

What to Do Next

If you have unresolved issues with Sunnova, act now — bankruptcy proceedings have strict deadlines. Get a free review at breakyoursolarcontract.com to understand both your consumer protection options and how the Sunnova bankruptcy affects your specific situation.