Before being elected to the U.S. Senate, now former Missouri Attorney General Eric Schmitt filed a lawsuit against Power Home Solar LLC — a North Carolina entity now doing business as Pink Energy — alleging that the solar company misrepresented the effectiveness and safety of its energy-generating systems for residential homes in violation of the Missouri Merchandising Practices Act. The lawsuit seeks injunctive relief and restitution in addition to civil penalties to remedy the alleged violations of Missouri consumers’ rights.

In his complaint, AG Schmitt claimed that Power Home’s sales representatives misled Missouri homeowners by representing that they could “get all, or nearly all, their needed electricity” from one of its systems, when the systems actually “d[id] not work at all, much less work as well as [Power Home] represented.” According to the complaint, the company also made false representations to consumers regarding its installation process by failing to properly install the system in a way that would decrease consumers’ electricity bills and would “sometimes cause physical damage” to consumers’ homes. Additionally, Schmitt alleged that Power Home sold its systems, despite knowing they contained a defective component that could cause “consumers’ homes to catch fire.”

Former AG Schmitt left office in November 2022, replaced by fellow Republican Missouri AG Andrew Bailey who previously served as an assistant AG under AG Chris Koster and counsel to Governor Mike Parson. AG Bailey will now lead the office’s pursuit of the case, currently pending in the Circuit Court of St. Louis County.

Why This Matters

The case could offer some insight into the new AG’s priorities and is one that consumer-facing companies operating in the renewable energy space should closely monitor.

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Photo of Ryan J. Strasser Ryan J. Strasser

Ryan is a first-chair trial attorney and a litigation partner in the firm’s Regulatory Investigations, Strategy + Enforcement (RISE) Practice Group. He focuses his practice primarily on litigation against state attorneys general (AGs) across the U.S. Ryan has served as lead counsel to…

Ryan is a first-chair trial attorney and a litigation partner in the firm’s Regulatory Investigations, Strategy + Enforcement (RISE) Practice Group. He focuses his practice primarily on litigation against state attorneys general (AGs) across the U.S. Ryan has served as lead counsel to companies confronting these challenging adversaries in an array of industries, including medical device manufacturing, consumer goods, orthodonture and dentistry, cloud computing, public records, privacy, and residential solar. He has appeared in various federal and state courts across the U.S.

Photo of Carson Cox Carson Cox

Carson is an associate with the firm’s Regulatory Investigations, Strategy + Enforcement Practice Group. He focuses his practice on the intersection of enforcement actions, investigations, and litigation, assisting in representing clients on dozens of cases across a wide variety of civil litigation and…

Carson is an associate with the firm’s Regulatory Investigations, Strategy + Enforcement Practice Group. He focuses his practice on the intersection of enforcement actions, investigations, and litigation, assisting in representing clients on dozens of cases across a wide variety of civil litigation and appellate matters. He is a member of the state attorneys general (AG) litigation team, defending companies in a variety of industries, often involving claims under state Unfair, Deceptive, or Abusive Practices (UDAP) statutes. Carson is also an active member of the firm’s Appellate + Supreme Court practice focusing on challenges to state election laws and redistricting plans in state and federal appellate courts throughout the U.S.