USAC Bankruptcy Filing Shocks American Cricket
The USA Cricket bankruptcy announcement has sent shockwaves through the sport. On Wednesday, USAC confirmed that it had filed for Chapter 11 bankruptcy protection under U.S. law. According to officials, this restructuring move was described as “aggressive” yet “necessary” to safeguard the future of American cricket.
The filing came just days after the ICC suspended USA Cricket for breaching membership criteria. That suspension, announced on September 23, further worsened the crisis for USAC.
ICC Suspension and Governance Disputes
The ICC suspension of USA Cricket highlighted long-standing governance and financial issues. ICC chairman Jay Shah had earlier warned USAC against undermining the role of the ICC Normalisation Committee, especially in matters related to the LA28 Olympic Games. Despite this, the USAC board moved ahead with the bankruptcy decision. Reports suggested that the decision was controversial, with several directors leaving the meeting in protest.
Financial Strain from ACE Contract
The USA Cricket bankruptcy has also been linked to a disputed agreement with American Cricket Enterprises (ACE). Signed in 2019, the 50-year contract gave ACE significant commercial control over cricket in the U.S. USAC argued that the deal “heavily favored” ACE, limiting sponsorship opportunities and undervaluing the national team’s commercial rights.
Officials claimed the agreement created financial strain and operational interference. ACE, however, called USAC’s termination of the deal “unlawful” and accused the board of damaging American cricket. Legal disputes escalated in September, but the bankruptcy filing halted immediate court proceedings.
Future of USA Cricket After Bankruptcy
The USA Cricket bankruptcy is being presented as a chance for structural reform. USAC stated that Chapter 11 protections will allow it to renegotiate unfavorable contracts, improve governance, and restore financial stability. CEO Johnathan Atkeison said the move was essential to ensure a long-term future and possibly resolve the ICC suspension.
Although ACE continues to blame USAC’s leadership, officials remain confident that restructuring can secure the future of American cricket. With LA28 approaching, the survival of USA Cricket depends on the success of this bankruptcy-driven reorganization.
