USA Rugby officially files for Chapter 11 bankruptcy

USA Rugby has filed for Chapter 11 bankruptcy, according to Chris Smith of Sports Business Daily. It claimed liabilities of $6 million against assets of $1.1 million.

USA Rugby blamed the coronavirus for the bankruptcy filing, as the outbreak has taken a toll on the organization financially.

“The current suspension of sanctioned rugby activities caused by the ongoing COVID-19 pandemic has accelerated the existing financial challenges facing the Union, and a reorganization process will now be progressed with input from World Rugby,” the organization said in a news release.

USA Rugby suspended all activities indefinitely on March 20 due to the coronavirus, and it's not the only organization hurting at the moment. New Zealand's rugby team may also go under as the COVID-19 outbreak sweeps the nation.