• show-popup
Shares 0

American Solar Direct is a scam

Company American Solar Direct
Product / Service Solar Electric System
Location Huntington Beach, California
Category Installers
Views 1055

American Solar Direct is a scam. Customers who sign up take on a 20 year lease obligation. In return the company installs a solar electric system on their roof and agrees to warranty and maintain the system for 20 years. Then the company bundles up the lease obligations it has committed and sells them to a financial institution, much the same way mortgages were bundled during the real estate bubble. American Solar Direct just takes the money and runs. When they go out of business the homeowners who have bought into their program will find that their partner who was supposed to warranty and maintain their system for 20 years has skipped town. Their only relationship will be with the financial institution which bought their lease. They will still be legally obligated to make monthly payments for 20 years. If they don't they will be in default, and the financial institution will proceed against them legally.

American Solar Direct is currently under criminal investigation by the IRS and EDD for tax fraud, 1099 misclassification and retaliation against workers who stood up for their independent contractor rights. These are serious crimes. The managers of American Solar Direct are in to them up to their necks due to their callous, insensitive and abusive attitudes toward their employees. The probable outcome of these investigations is that American Solar Direct will be gone sooner rather than later. The 1000 or so homeowners that have bought into their program in Souther California will be left holding the bag.

The salespeople at American Solar Direct are trained to tell prospective commitments to their lease contracts to call the California Solar Initiative for a referral. They tell the customer that the CSI loves them and will give a great referral. I called the California Solar Initiative and asked for a referral on American Solar Direct. I was told that they don't give referrals on companies. American Solar Direct is on their list of contractors, but they encourage any prospective purchaser of solar to get at least 3 bids from different companies. This is not the message that the trainers at American Solar Direct want prospects to receive. Their motto is, "no is better than a maybe." If the customers receiving the presentation do not sign on the night it is presented they will not sign period. The deal will be lost. So the customers must be pushed until they flat out refuse and must not be left to think about it. Obviously it sounds good to tell the customer to call the California Solar Initiative for a referral, but the salespeople from American Solar Direct don't really want them to do it.

If you have been employed by American Solar Direct and have been a victim of 1099 misclassification or were retaliated against because you stood up for your independent contractor rights then you can participate in the criminal investigations being done by the Internal Revenue Service and the Employment Development Department. If you have been told that because you are an independent contractor you must volunteer your time and gas to drive all over town to required meetings, or given a minimum number of days you must work each week or a minimum number of hours to be worked each day or have been terminated or threatened to be terminated if you don't cooperate with these illegal demands then you are a victim of these crimes. The IRS considers these crimes to at epidemic proportions in our country today. They say to make no mistake that the people engaging in these acts are criminals. Because they are not paying their fair share of employment tax, they are victimizing every person in our society. If you know of people who are committing these crimes you have a patriotic duty to report it.

To report it to the IRS go to
Download Form 3949-A fill it out and mail it to
Internal Revenue Service
Fresno, CA 93888

Reporting to the EDD is easier and can be submitted on-line at
https://askedd.edd.ca.gov/frmFraudStart.htm 3046974

  Comments (8) Hide comments
Comment review as anonymous or
Please keep the topic of messages relevant to the subject. Personal attacks will be deleted. No links or scripts.

Jan 22, 2013  from Los Angeles, California
funny how ASD talks about their installers with such a high level and not to trust companies that use outside sources as installers...then this happens Wow, just google american solar direct police chase
Reply to funny

Nov 09, 2012 
predatory lending practices are predatory lending practices just the same. Being a loan shark in the solar market still means you're out to eat the little fish.

Thanks for confirming about the 0 down 60,000 dollar loan. Sounds like you're sign up people who can't afford it and betting on them to not pay. Nice business model.
Reply to Loveourplanets a retard

Oct 09, 2012 
loveourplanet sounds, in no way, like an employee but rather a satisfied customer.
Reply to notlovourplanet

Oct 09, 2012 
you sound, in no way, like an employee but rather a satisfied customer.
Reply to Loveourplanet

Sep 12, 2012 
Wow, so many ignorant people out there . It's real simple, due diligence might strike a cord. Yes do it and you will find that ASD is the most efficient,vertically integrated solar company that extends themselves to a higher level of customer care within the residential market. The guy that wrote all the negatives above must be getting paid it or maybe he couldn't qualify for the program ASD provides. This is a very exclusive business model that homeowners receive upon approval. Upwards to a 60,000.00 dollar system for no money up front. You also lock in your electrical rate. Its a no brainier to go with clean green energy at a lower fixed cost then choosing dirty fossil fuel electricity.Which we've been promised by Mr. Edison will ever increase a woppping 9 to 11%, every three years and reconstitute the (GRC Process) with the public utility commission. Wouldn't it be great if an ASD rep came by your home and shook your hand helping you get connected to ensure you wouldn't have to experience this (GRC process)ever again. That means no surprises Your bill stays the same with no increase.WOW!This guy writing this anti solar rant is probably stuck on the Solyndra fiasco that has nothing to do with this.Or just must have it in for upcoming solar homeowners by trying to prevent them from reaping the solar savings by planting a lie.WOW!
Reply to Loveourplanet

May 15, 2013  from Los Angeles, California
This "website" is amazing!!! What garbage! That top rant is beyond ridiculous. Solar is free power from the sun. Someone needs to upgrade your house. If you can do that at no cost and get the power at a fixed price over time that is way less than the utility charges now for high tiers, then why on earth would you waste another minute??? All this clap trap about 20 years, etc. It's beyond ***. Utility bills are forever. People are so confused about solar and moronic pages like this trash site are the reason. And yes, I am in the industry. And yes, I am a customer. If you don't have solar, remember, while you contemplate your energy navel, you are paying your power bill every month, year after year instead of paying for your solar. Just think about that for a minute..... :zzz
Reply to Solar Guy

Read next American Solar Direct complaint

American Solar Direct - Lowered my bill!

They made my utility bills lower. I am upset that I have to pay DWP less money now that I have sola...

Select Reason

Send Report Cancel

Thank you!

We will review your report
You were reading a complaint about American Solar Direct.
Filing a new complaint about
Report a bug