https://www.athleticsmanagers.com/statement-from-aam-on-grand-slam-track.html
While I certainly agree it seems crazy to allow the same organizers to try again in 2026 after wiping out all debts from 2025, the statement from the managers association makes no logical sense.
They admit in the 2nd paragraph that the payment to the athletes can be clawed back.
And when it became obvious after the Philadelphia event that there were serious financial issues, we have continued to be patient and support GST. This despite the fact that the partial payments made to athletes in October can be required under bankruptcy law to be returned to the court as “preferential payments”. The payments were made within ninety days of GST’s filing for bankruptcy protection in December and are subject to return (“claw back”) to the bankruptcy court. Once returned to the bankruptcy court, these funds would be used to pay off secured creditors, with whatever remains to be divided among all unsecured creditors, not just athletes.
So realiize what that means.
If GST doesn't go on in 2026, if I was a secured creditor, I'd demand the athlete payments from 2025 be clawed back. I think the only reason why the secured creditors wouldn't try to claw the money back is if GST actually takes place in 2026 as then the secured creditors might not want to try to claw it back as then the athletes will boycott 2026 and they couldn't hold a meet.
So it seems to me it's in the best interests of the atheltes if 2026 actually takes place without paying back the athletes from 2025. Otherwise, their payments for 2025 very well could be clawed back.
All of that being said, we know this is a moot point. Who are we kidding? GST isn't coming back in 2026. Lawyerws are just getting rich. People are trying to save their reputations right now. No one with a brain would invest another penny in this entity right now.
