Henry J. Jaffe and Alexis R. Gambale Represent Taylor Morrison in SunPower Bankruptcy Adversary Proceeding

Henry J. Jaffe, partner in the firm’s Bankruptcy, Restructuring and Creditors’ Rights practice, and Alexis R. Gambale, an associate in the practice, are representing Taylor Morrison Services Inc. and its affiliate William Lyon Homes, Inc. (collectively “Taylor Morrison”) in an adversary proceeding arising out of the Chapter 11 bankruptcy of SunPower Corp. in the U.S. Bankruptcy Court for the District of Delaware.

The lawsuit seeks to prevent Complete Solaria, a purchaser of certain assets of SunPower, from contacting Taylor Morrisons’ California homeowners threatening to deactivate their residential solar systems installed by SunPower while a payment dispute between Complete Solaria and Taylor Morrisson is pending. Taylor Morrison argues that it does not owe the disputed amount because SunPower breached the parties’ agreements before and during its bankruptcy, and therefore no monies are due and owing. Moreover, even if monies were due and owing (which Taylor Morrison strongly disputes), Taylor Morrison asserts that the installed solar systems belong to the homeowners, not Complete Solaria, and therefore Complete Solaria cannot take any remedial action against property in which Complete Solaria holds no legal interest.

To read press coverage about the matter in Law360, click here.