Tesla Customer Sues Over Solar-Panel Deal Being Reported as Loan

Olivier Chaine says Tesla move damaged his credit rating
Chaine seeks unspecified monetary damages in lawsuit

A SolarCity Corp. employee carries a solar panel during an installation at a home in Los Angeles, California.Photographer: Patrick T. Fallon/Bloomberg

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By Dana Hull

October 15, 2020 at 9:23 PM UTC

This article is for subscribers only.

A Tesla Inc. customer sued the car and clean energy company for reporting a solar-financing agreement on his credit report as a massive loan that damaged his credit rating.

Olivier Chaine of Los Angeles said he agreed in March 2017 to have SolarCity, which was acquired by Tesla, install rooftop solar panels on a second home in Palm Desert, California. Instead of buying the solar system outright, or taking out a loan, Chaine signed a Power Purchase Agreement known as PPA -- which allows customers to pay for the energy the system produces at a pre-arranged rate.