WAG USAG files for chapter 11 bankruptcy

[bogwoppit]

https://www.usagym.org/pages/post.html?PostID=23017

 

[bogwoppit]

How USAG filing for chapter 11 will affect the abuse survivors.

https://buff.ly/2Ur5mWk

 

[rjb123]

so my understanding is that USAG has nowhere close to the money to pay the survivors, even with insurance (if they agree to pay- aren't they in court over that as well?). Also this stops the USOC from decertifying them, and it stops the police and authorities from being able to investigate them for the crimes? Im not sure how this *helps* the survivors as USAG said in their email?

 

[Freddy's Fred]

so my understanding is that USAG has nowhere close to the money to pay the survivors, even with insurance (if they agree to pay- aren't they in court over that as well?). Also this stops the USOC from decertifying them, and it stops the police and authorities from being able to investigate them for the crimes? Im not sure how this *helps* the survivors as USAG said in their email?

It's horrible, and I feel complicit in it for paying my registration fee. I want my money back .

 

[NutterButter]

It's horrible, and I feel complicit in it for paying my registration fee. I want my money back .

I feel the same. I received my DD’s USAG membership card about a week ago and it came with a window decal. I was disgusted by the sticker...no way I’d put that on my car now and I couldn’t even bring myself to give it to DD. Compare that to how proud I was of that stupid sticker when DD got her first one when she was new to JO in L4.

 

[profmom]

Things are on pause, but a torts friend of mine says that judges will routinely lift a pause to allow discovery to continue in a situation like this. Regardless of what the plaintiffs' counsel say, this has been coming for a while and everyone has known it.

Ultimately at some point this whole thing should settle, but the big issue right now is what will happen with USAG's insurance claim. The other question is whether the organization can take steps to show the judge that it's capable of righting itself. If USAG and its insurers settle for some fairly substantial amount, and if USAG can demonstrate new leadership that will 1) work with survivors to resolve the dispute and set up a settlement fund, and 2) regain public confidence in its capacity to manage the sport going forward, then USAG could survive. Both of those things are big question marks for me right now. However, I am not sure if there are any plans afoot that will create a significantly better alternative. Maybe others on the boards know more about this.

 

[doublestrike]

Depends on their policy language, but insurance covers accidental events, Nasser's acts were intentional and criminal, which are generally not covered by most policies. Insurance companies will fight against coverage pretty hard on this and they will also push for discovery regarding when knowledge of his acts became known.

 

[Flipfloppy]

Depends on their policy language, but insurance covers accidental events, Nasser's acts were intentional and criminal, which are generally not covered by most policies. Insurance companies will fight against coverage pretty hard on this and they will also push for discovery regarding when knowledge of his acts became known.

No, the NGBs are required to have insurance that covers sexual misconduct (as are individual coaches, although that may depend on the NGB; I'm not sure). The issue with USAG's carriers is not whether USAG's insurance covers sexual misconduct (it does), but whether USAG was negligent in ways that allowed Nassar to abuse or continue to abuse athletes.