A Central Florida-based vacation rental company, IPG Franchising, has filed for Chapter 11 bankruptcy, capping months of investigation into delayed payments and a growing number of lawsuits. The company attracted investors to manage vacation rentals, but many now claim they have not received payments, with some reporting losses exceeding $200,000.
Key Takeaways
- IPG Franchising has filed for Chapter 11 bankruptcy.
- Investors and property owners allege significant unpaid amounts.
- The company faces numerous lawsuits and over 80 listed creditors.
- Company owners also operated Island Attitude, affected by Hurricane Milton.
Financial Distress and Investor Betrayal
IPG Franchising, which operates out of Central Florida, has been under scrutiny for its business practices. Investors who purchased contracts to manage vacation rentals through IPG have reported that the company has either delayed or completely stopped making payments. Jane Sonkin, who moved her family from Canada to Florida to invest in IPG, stated that her family is owed over $200,000, representing their life savings. "There’s no properties anymore. There’s no communication. We are left with nothing," Sonkin told Gulf Coast News.
Mounting Lawsuits and Creditors
The bankruptcy filing reveals that IPG Franchising lists more than 80 creditors. The company’s financial filings indicate assets of less than $50,000, contrasted with liabilities estimated between $1 million and $10 million. Beyond investors, property owners and renters who had booked through Island Attitude, another company run by IPG’s owners Graham and Jamie Greene, also claim to be owed money. Island Attitude was reportedly devastated by Hurricane Milton.
Company’s Defense and Future Outlook
Attorneys for IPG Franchising have previously attributed the company’s financial difficulties to the COVID-19 pandemic and the impact of hurricanes in Southwest Florida, citing these as significant setbacks. Despite these claims, the company’s website is no longer operational, and it remains unclear if IPG is still seeking new investors. Investigations into the company’s operations and the mounting complaints are ongoing as the bankruptcy proceedings develop.
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, Yahoo Finance.
- Florida-based vacation rental company files for bankruptcy, WFLA.