USA Rugby File For Bankruptcy Amid Covid-19 Financial Difficulties

USA Rugby

USA Rugby’s Board of Directors and Congress voted to officially file Chapter 11 bankruptcy as a result of financial constraints caused by the Coronavirus (Covid-19) pandemic.

Earlier this month, the governing body suspended all rugby activity indefinitely and that has “accelerated the existing financial challenges facing the Union”, according to a statement on their website.

USA Rugby will now undergo a reorganization process with input from World Rugby.

However, The Men’s and Women’s Senior National Teams will continue to compete as normal when rugby returns after the Covid-19 pandemic.

“This is the most challenging period this organization has faced and all resolves were never taken lightly in coming to this determination,” noted USA Rugby Chair, Barbara O’Brien.

“While the current climate is of course much larger than rugby, we remain focused with stakeholders and supporters in the continued effort toward a balanced rugby community where the game can truly grow.”

USA Rugby will retain operations through Chapter 11 bankruptcy while World Rugby will supply a financial support package.

“Significant cost reductions and a financial support package from World Rugby will allow the Board, Congress and Governance Restructuring Group to continue under Union operation and control.

“Throughout this process, USA Rugby will retain procedure of the reorganization over a 30-day period where World Rugby and other creditors will need to review and endorse final court-approved restructuring plans; allowing USA Rugby to emerge from Chapter 11.”

Rugby is one of the fastest-growing sports in the US. In May of last year, their men’s sevens side became the first team to qualify for the Tokyo Olympics while their women’s team followed suit a month later.

Following its postponement, the Olympics is set to kick off on July 23rd 2021 with the closing ceremony set to take place on August 8th.

Read More About: Covid-19, olympics, Top Story, usa rugby, world rugby

Author: Marisa Kennedy

Marisa is a Digital Journalist with Pundit Arena. You can contact her at or on Twitter View all posts by Marisa Kennedy