A Company Canceled My Passport Renewal And Is Now Holding My Passport Unless I Pay Again. Can They Legally Do This?

Location: Colorado I paid a company called RushMyPassport (aka Expedited Travel LLC) to process my passport renewal. They canceled the order and never provided the service — but they’re now refusing to return my passport unless I pay them again for a prepaid shipping label.
They already charged me for the service. I’ve filed a complaint with my state attorney general and disputed the charge with my bank, which was temporarily credited back to me. I also sent multiple emails demanding the return of my passport with no extra charges, and I’ve gotten nowhere.
My question is: do they have any legal right to keep my passport after canceling the transaction?
I’m not asking if it’s “shady” — I know it is — I just want to know if I can escalate this legally or report them for theft or conversion.
Bonus: They partner with FedEx, which makes the whole thing look more legit than it is.
Appreciate any straight answers. Not looking to argue with Reddit lawyers, just trying to get my document back without paying a company that already wasted my time and money.
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