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Minnesota Rusco is filing for bankruptcy after it closed its doors without warning in late October, with some customers filing their own lawsuits over unfinished home improvement projects. READ MORE: Remodeling company Minnesota Rusco closes, leaving employees and customers hanging The home improvement company was known for its advertisement jingle and was part of the Minnesota business community for the past 70 years. Minnesota Rusco files for bankruptcy Big picture view: A Chapter 7 bankruptcy filing means that the company will have to sell its assets to pay off its debt. READ MORE: Rusco employees 'blindsided' by sudden closure after 70 years in business However, court documents show the company's overall debt is estimated to $100 million and $500 million, while its assets are between $1 million and $10 million, meaning that many creditors and contractors likely won't be able to recoup their losses. The company owes money to multiple companies, including Xcel Energy, Thomson Reuters, Marvin Windows, the City of South St. Paul, a Minneapolis-based law firm Fredrickson & Byron as well as dozens of local contractors. Some contractors and customers are filing lawsuits for tens of thousands of dollars over unfinished home improvement projects. Customer lawsuits Lino Lakes: Court documents show a Lino Lakes plaintiff paid the company $15,894 for a home remodeling project on Oct. 16, 2025. READ MORE: Minnesota Rusco fallout: What can current customers do? That customer was not aware of Minnesota Rusco's financial situation until a separate company contacted her on Oct. 28 to cancel a measuring appointment. It was during that call that the customer became aware that Minnesota Rusco was filing for bankruptcy, and it would not be carrying out her home renovations. The statement of claim states that the company still has not returned her money and that her bank assigned the transaction to a fraud inspector. The plaintiff wrote the following statement in the civil filing: "Bankruptcy does not happen in 12 days, Minnesota Rusco continued to do business and take client's money with full knowledge that the company was/is in bankruptcy proceedings. No work has been done on my house, basically, I gave them $15,894. Their business practices are deceitful and unlawful, and I want my money to be returned." New Hope: Another plaintiff in New Hope said she paid $10,033.50 for a shower remodeling job that was never done. That statement of claim says there is no answer when she tries to contact the company. Parent company, Renvo, winding down operations Dig deeper: Minnesota Rusco is owned by parent company Renovo out of Dallas, Texas, which owns similar companies across the country, and it appears six of them have closed. Former employees told FOX 9 that they were notified at 8 a.m. on Oct. 29 that the parent company, Renovo Home Partners, had filed for bankruptcy and Minnesota Rusco was ceasing operations. Those former employees were given just three days of health insurance, and said they were "blindsided" by the decision. Minnesota Rusco: What can customers do? What you can do: FOX 9 reached out last week to the Minnesota Department of Labor and Industry (DLI) to ask what customers with existing projects can do, and if they can get their money back. Sean O’Neil with the department said consumers have to sue and get a judgment against Minnesota Rusco before they can get any money back from the Contractor Recovery Fund. O’Neil says DLI has heard from as many as 25–30 homeowners who have been impacted by the abrupt closure. Minnesota Rusco is licensed by the Minnesota DLI as a residential remodeler. Homeowners who have suffered an out-of-pocket loss due to the closing of Minnesota Rusco may be able to receive reimbursement through DLI’s Contractor Recovery Fund. The fund can pay up to $550,000 on behalf of one licensed residential building contractor or remodeler, with a separate limit of $100,000 per consumer. Learn more about the Contractor Recover Fund at dli.mn.gov/workers/homeowners/contractor-recovery-fund. Questions can be submitted to contractor.recoveryfund@state.mn.us.
