Can I get out of a solar lease?
Short answer: usually not easily. The option and most termination rights typically belong to the company, so negotiate your exits before you sign.
How long you are committing
Solar ground leases can run 15 to 30 years, most around 20 to 25 (Penn State Extension), after an option period of typically three to five years (Phelps).
The option is theirs, not yours
Penn State Extension notes that an option is usually written in favor of the company that approaches the landowner (Penn State Extension). If the project never happens and the option expires, you typically keep the payments already made and are free to sign with someone else (National Agricultural Law Center).
Exit terms to ask for
- A firm end date for the option, with limited paid extensions
- A deadline to start construction, or the lease ends
- The right to end the lease if payments stop
- Release of acreage the project does not use
- Removal security required by Texas law, delivered as early as you can negotiate
Have a Texas attorney review these terms before you sign (Texas A&M AgriLife).
Related questions
General information from the sources linked above, not legal, tax, or financial advice.