Skip to main content

USA Gymnastics Running Up Millions in Legal Fees While in Bankruptcy

Submitted by jhartgen@abi.org on

USA Gymnastics in the two years since it filed for chapter 11 protection in U.S. Bankruptcy Court’s Southern District of Indiana has rang up at least $13.6 million in legal fees, the Orange County (Calif.) Register reported. USA Gymnastics has used the services of at least eight law firms, paying three of them at least $1.6 million, in the 25 months since the sport’s Indianapolis-based national governing body declared bankruptcy. The organization’s legal bills have continued to mount against the backdrop of stalled negotiations between USA Gymnastics and attorneys for the more than 500 survivors of former Olympic and national team physician Larry Nassar and other high profile coaches’ alleged sexual abuse, a roundly rejected and controversial proposed settlement agreement, relentless criticism from former Olympians, national team members, and the public, increased Congressional scrutiny and largely unsuccessful attempts by USA Gymnastics to distance itself from the Nassar controversy which continues to loom over the sport and Olympic movement.