Sudden Chapter 7 bankruptcy puts homeowners’ deposits at risk
Sudden Chapter 7 bankruptcy puts homeowners’ deposits at risk
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Sudden Chapter 7 bankruptcy puts homeowners’ deposits at risk

🕒︎ 2025-11-06

Copyright The Street

Sudden Chapter 7 bankruptcy puts homeowners’ deposits at risk

The national home renovation company operates under many names. It shut down with no warning. Homeowners who paid a deposit may lose that money. Imagine paying a company to remodel your home and they take a deposit, then stop returning phone calls. At first, you assume they’re just busy, or maybe that they’re stalling you in order to finish other projects. You don’t worry too much because they company has a long history and thousands of successfully completed projects. Then, you happen to drive by the company’s office and notice that there are no cars in the parking lot and that the building appears to be closed. That’s when you realize that something terrible has happened and that any money you have paid as a deposit may have just disappeared. That’s the terrible feeling that thousands of customers of Renovo Home Partners, a company which does business under a variety of names, woke up to when they learned that their home renovation company has filed Chapter 7 bankruptcy. “Renovo Home Partners, the parent company of the Newpro home remodeling business in Massachusetts, filed for bankruptcy this week after abruptly shuttering outposts around the country,” WCVB Boston reported. “One week ago, the company told employees it was ceasing operations immediately. The abrupt closure left many in limbo, including some customers who are out thousands of dollars. The company has not communicated with its customers and its website has been taken down. Renovo brands: Dreamstyle Remodeling. Alure Home Solutions / Alure Home Improvements. Reborn Home Solutions / Reborn Cabinets. NEWPRO Home Solutions. Remodel USA (Remodel US / Remodel USA). Woodbridge Home Solutions. Minnesota Rusco. HomeRenew Buyer, Inc., which operates under the names listed above, voluntarily petitioned for relief on Nov. 3, 2025, case number 25-11939. The filing lists the company’s liabilities in the range of $100 million to $500 million, while assets are reported at $0–$100,000, according to court filings in the U.S. Bankruptcy Court for the District of Delaware, More Bankruptcy: Discount retail chain moving to Chapter 7 bankruptcy Popular doughnut chain files Chapter 11 bankruptcy Key freight carrier company files for Chapter 11 bankruptcy This is likely bad news for any customers who paid a deposit. “Bankruptcy attorneys say that in a case like this one, deposit-paying customers and smaller vendors often recover only a fraction of what they’re owed — unless they held secured rights (for example a construction lien) or paid by credit card, which might allow a faster workaround. Employees, on the other hand, may qualify for ‘“’priority’ treatment of unpaid wages up to statutory limits under the U.S. Bankruptcy Code — but that does not guarantee full recovery,” Qualified Remodeler reported. Renovo Chapter 7 bankruptcy: Filed: Nov. 3, 2025, in Delaware (Chapter 7 liquidation). Who: Renovo Home Partners — parent of regional remodelers like NEWPRO, Remodel USA, and Minnesota Rusco. Why: Company shut down abruptly, citing it was in creditors’ best interest to liquidate. Liabilities: $100–$500 million; assets: <$100 K. Impact: All operations ceased; employees terminated, benefits ended. WARN Act probe: Possible violations for lack of layoff notice. Customers: Unfinished jobs and lost deposits; most are unsecured creditors. Next step: Creditors’ meeting Dec 12 (Zoom); claims process to follow. Outcome: Assets to be sold, business not expected to resume. Source: PacerMonitor Before its website was taken down, the company described itself in the following way. “Renovo Home Partners brings together leading home improvement companies from across the country and gives them the tools they need to grow within their unique markets. We partner with companies with a focus on high-volume, quick-turnaround bath, window, siding, roofing, and other remodeling services. Built on a culture of performance and continuous improvement, we offer the best platform for our partners to thrive by providing access to peer experience and insight as well as the necessary infrastructure, processes, and tech-enabled resources,” it shared. The company officially filed for Chapter 7 bankruptcy on Nov. 4. “The sole member of the Restructuring Committee of Parent, on behalf of Parent and each other Renovo Entity, determined that it was desirable and in the best interests of Parent and each other Renovo Entity and their respective creditors, stakeholders and other interested parties that the Renovo Entities wind down their business and affairs,” the document states. What Renovo customers should do: Check the bankruptcy case: Look up Renovo Home Partners LLC, Case No. 25-12040 (Delaware) on https://ecf.deb.uscourts.gov File a proof of claim: Customers with deposits or unfinished jobs are unsecured creditors. You’ll need to file a proof of claim before the court’s deadline. Save all documentation: Keep contracts, invoices, payment receipts, photos of unfinished work, and any emails/texts with Renovo or its brands. Dispute credit card payments: If you paid by card and work was not completed, contact your card issuer to request a chargeback. If you financed through a lender: Contact the financing company directly — they may suspend or adjust payments once they confirm the bankruptcy. Do not send new payments to any Renovo entity; they are no longer operating. Monitor communications: Watch for notices from the bankruptcy court or the appointed trustee (these may come by email or mail). Report issues: Customers can also file complaints with state attorneys general or consumer protection offices for assistance or to add pressure for oversight. Consider hiring a bankruptcy or consumer attorney if you paid large sums or have unfinished construction that affects your home’s habitability.

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