A Central Florida-based vacation rental company, IPG Franchising, has filed for Chapter 11 bankruptcy, following months of investigation into delayed payments, lawsuits, and complaints from investors and property owners. The company attracted investors to manage vacation rentals, handling all financial transactions, but many claim they have not received promised payments, leading to significant financial losses.
Key Takeaways
- IPG Franchising has filed for Chapter 11 bankruptcy.
- The company faces numerous lawsuits from investors, property owners, and renters.
- Investors report significant financial losses, with some claiming to be owed over $200,000.
- The company lists assets under $50,000 but liabilities between $1 million and $10 million.
Mounting Complaints and Lawsuits
IPG Franchising has been under scrutiny for months due to allegations of delayed or entirely withheld payments to investors who purchased contracts to manage vacation rentals. Investors, like Jane Sonkin who moved her family from Canada to Florida, have reported losing their life savings, with Sonkin estimating a loss of over $200,000. "There’s no properties anymore. There’s no communication. We are left with nothing," Sonkin stated.
Beyond investors, property owners and renters have also come forward with claims. Terri Darr reported not receiving $23,000 owed for rental properties, while Alan Bush is still awaiting nearly $12,000 for condo bookings. Renters who had booked properties damaged by Hurricane Milton also claim they did not receive refunds.
Financial Distress and Bankruptcy Filing
The bankruptcy filing reveals a stark financial picture for IPG Franchising. The company lists more than 80 creditors, with estimated assets below $50,000 and liabilities ranging from $1 million to $10 million. This financial distress has led to a growing number of lawsuits across Florida, from the Gulf Coast to Osceola County, where IPG is based.
Ownership and Past Ventures
Records indicate that the individuals behind IPG Franchising, Graham and Jamie Greene, have also been involved with other companies, including Island Attitude on Manasota Key. This company managed vacation rentals in the area before being impacted by Hurricane Milton. Property owners and renters associated with Island Attitude have also reported outstanding payments.
Company’s Defense
Attorneys for IPG Franchising have previously attributed the company’s financial difficulties to the COVID-19 pandemic and multiple hurricanes, citing "significant financial setbacks and losses." They stated that the company is working to resolve legitimate unpaid claims and is seeking amicable resolutions for pending lawsuits where claims are deemed meritorious. However, they acknowledged that immediate full resolution is not possible due to the severe losses experienced.
Current Status
IPG Franchising’s website is no longer active, and it remains unclear if they are still seeking new investors. The company’s bankruptcy filing is now working through the legal process, with many affected parties hoping for some form of resolution.
Sources
- Florida vacation rental company files for bankruptcy, Gulf Coast News and Weather – Southwest Florida News.
- More complaints, lawsuits against Florida vacation rental company, Gulf Coast News and Weather – Southwest Florida News.
- Florida-based vacation rental company files for bankruptcy, WFLA.