USAG files for bankruptcy protection

… This filing will enable USA Gymnastics to continue to support its athletes, to fully operate and meet its responsibilities to the entire membership and to expeditiously resolve the claims made by the survivors of sexual abuse perpetrated by Larry Nassar. …

The survivors’ claims against USA Gymnastics are covered by insurance previously purchased by USA Gymnastics, and the amount of available insurance proceeds available is not affected by the Chapter 11 filing. Apart from these insurance proceeds, USA Gymnastics has no other significant assets that could be used to pay claims. USA Gymnastics believes that the Bankruptcy Court is the best forum in which to implement appropriate procedures to equitably determine and allocate the insurance proceeds among claimants, allowing compensation to survivors to proceed more quickly than litigation filed in multiple courts around the country. …

USA Gymnastics files for reorganization under Chapter 11 of Bankruptcy Code

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Rick Mc

Career gymnastics coach who loves the outdoors, and the internet.

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