Holiday Dreams Shattered as Sonder Enters Liquidation
The sudden collapse of short-term rental giant Sonder has thrown thousands of holidays into disarray, leaving travellers stranded and out of pocket. The company, once valued at over $1 billion, filed for Chapter 7 liquidation on Monday after its pivotal licensing deal with hotel behemoth Marriott International was terminated, forcing immediate wind-down of all operations.
Families Left in Financial and Emotional Turmoil
For Irishman John Behan and his British wife Alix, the news was a devastating blow. They had a trip booked for November 24 to celebrate her 40th birthday, their 10-year wedding anniversary, and their son's 16th birthday. Their plans were scrapped after receiving a 'blunt' cancellation email on November 9.
'I thought it was obviously a prank, some sort of kind of scam,' John told the Daily Mail. His frustration was compounded by what he described as 'rude, wrong and disappointing' customer service. He found himself in a nightmarish loop, being told by Sonder to contact Marriott Bonvoy, and by Marriott to contact Sonder.
Now facing flights booked but no accommodation, John is attempting to secure a refund through his debit card provider and travel insurance. 'It's a bit of a weird predicament that they've left, a horrible predicament actually,' he said, even considering borrowing from a family member to rebook. 'It was supposed to be such a big kind of occasion... it's extremely frustrating.'
Guests Evicted Mid-Stay in London and New York
The chaos was not limited to future bookings. In London, 19-year-old Australian tourist Kianna McKandie was eight nights into a 17-night stay at The Prince Hotel in Vauxhall when Sonder staff informed her she had to leave immediately. She was stopped outside her room and told to vacate by 9am, despite never receiving the official cancellation email.
'I found it very strange that I didn’t get the email,' Kianna explained. The situation left the teenager, on her first big trip without her parents, feeling 'confused, annoyed and sad'. After initially being given just an hour to pack, she was eventually left 'on the side of the road in the rain' with her bags before her flight centre emergency team found her alternative accommodation.
Similarly, Brit Connor Harley saw his New York holiday plans evaporate when an email arrived just 32 days before his trip, cancelling his fully-paid hotel reservation. 'There was no mention of what would happen with the money,' he noted. Forced to rebook at a higher price with Hilton Garden Inn, Connor expressed his disbelief at the lack of a contingency plan for affected customers.
Widespread Outrage and Social Media Backlash
The fallout has sparked outrage on social media platforms. One TikTok user, reece.traveling, posted: 'Got kicked out of my hotel today… total nightmare. Marriott dropped Sonders, so now I’m basically homeless.' Another couple, Minjun and Kevin, documented their experience being 'kicked out of our hotel reservation at Sonders in New York City' with less than 24 hours' notice while they were in the middle of their stay.
The collapse marks a dramatic fall for Sonder, which in 2024 signed a high-profile deal with Marriott, rebranding its properties as 'Sonder by Marriott Bonvoy'. This move was designed to bring its portfolio of 10,500 hotel rooms and apartments under Marriott's global loyalty programme. Unlike platforms like Airbnb, Sonder leased and managed the properties directly.
With the company now in liquidation, the responsibility for refunds remains a contentious issue being passed between Sonder, Marriott, and customers' payment providers, leaving a trail of financial and emotional distress for travellers worldwide.