Marriott-branded hotels evicted guests after partner Sonder's bankruptcy

Marriott's partner company, Sonder, a network specializing in short-term apartment rentals, has declared bankruptcy. As a result, hotel guests worldwide were abruptly evicted in the middle of their stays, and in some cases, their belongings ended up in hallways or plastic bags.

This was reported by Daily Mail, according to UNN.

Details

Sonder, once valued at over $1 billion and considered a competitor to Airbnb, filed for Chapter 7 liquidation on Monday after Marriott International terminated its licensing agreement. This forced the company to cease operations immediately.

The partnership between Marriott and Sonder was established in 2024 – at which point the company rebranded as Sonder by Marriott Bonvoy, allowing its rooms to be booked through the Marriott website. However, technical difficulties reportedly arose between the companies regarding the integration of booking systems, leading to a "sharp decline in revenue."

Sonder's acting CEO, Janice Sears, stated:

We are devastated to have reached a point where liquidation is the only viable path forward.

Sonder's closure caused chaos among customers in cities from Boston to Dubai. On Sunday, many guests received notices to vacate their rooms immediately – even those who had bookings for several more days.

TikTok user Avery from Edmonton shared a video of herself dragging a suitcase through the snow in Montreal, writing:

Trying to keep my composure while dragging my luggage after Marriott and Sonder hotels broke up on a random Sunday.

Another couple, Minjun and Kevin, said they were "kicked out of their Sonder hotel booking in New York" which they had made through Marriott. Caitlyn Caralle noted on X:

Received an eviction notice with less than 24 hours' notice. I'm lucky because my trip ended today, but what are others doing?

Paul Strack, a 63-year-old businessman from Arkansas, said that upon returning to his apartment in Boston, he found his belongings packed in the hallway:.

They took everything – clothes, computers, electronics. Some were put in suitcases, some in plastic bags.

Steve McGraw, who holds elite status in the Marriott Bonvoy program, reported that he and his wife were evicted in the middle of a 17-day stay in New York.

We had to spend a few more thousand dollars to find a new place. It was very disruptive.

Sonder's bankruptcy and the termination of its partnership with Marriott have led to widespread chaos in hotels worldwide. Guests were left without accommodation in the middle of their travels, and employees were left without jobs. Marriott has not yet released a public explanation, and Sonder representatives stated that liquidation is the only way out of the financial crisis.

Recall

European hotels have filed a class-action lawsuit against Booking.com over forced pricing policies from 2004 to 2024. The lawsuit is supported by over 30 national hotel associations and will be heard in the Netherlands.