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Sonder Files for Chapter 7 After Marriott Split, Triggering Cancellations

Marriott now tells affected bookers to seek refunds through their credit-card companies.

Overview

  • Sonder entered Chapter 7 liquidation in Delaware, listing estimated assets and liabilities each between $1 billion and $10 billion and beginning a U.S. wind-down with insolvency steps abroad.
  • Marriott terminated its licensing agreement citing Sonder’s default and removed all Sonder inventory from Bonvoy channels, canceling current and future reservations booked there.
  • Prepaid customers are unsecured creditors in Chapter 7, and consumer advisers urge fast credit-card chargebacks, noting banks’ dispute timelines and that Marriott was not the merchant of record.
  • Guests reported abrupt vacate notices and confusion across multiple cities, with disruptions documented in places such as London and Dubai.
  • Sonder staff described chaotic communications and received termination notices without severance, while the company attributed its collapse partly to delayed, costly tech integration with Marriott.