Following intense pushback from vendors and creditors, Grand Slam Track has revised its bankruptcy payout plan after it was criticized for being unfair.
The original proposal by the now-bankrupt professional track and field league was to repay about 85 percent of what athletes were owed while giving most vendors just around 1.5 percent of their claims, which sparked backlash, Front Office Sports reported.
The league filed for bankruptcy in December 2025 after accumulating more than $40 million in debt while generating less than $2 million in revenue, according to The Telegraph.
It owes roughly $7 million to athletes and about $13 million to vendors, according to Front Office Sports.
The ambitious league launched in 2024 with promises of high payouts and signed 28 medalists from the 2024 Summer Olympics, according to The Telegraph.
It continued hosting events despite lacking sufficient funds to cover prize money and costs.
Backed by Winners Alliance, chaired by Bill Ackman, the group invested about $13 million plus additional loans, according to The Telegraph.
A potential $30 million deal with Eldridge, co-founded by Todd Boehly, fell through.
Vendors were initially set to receive only about 1.5 percent of what they were owed. Creditors threatened legal action, including a potential $25 million lawsuit.
The revised plan emerged as a negotiated compromise to avoid litigation and gain court approval.
Michael Johnson, founder of the Grand Slam Track league and retired American track-and-field legend and four-time Olympic gold medalist, agreed to return $500,000 he received, which creditors alleged was improper, according to The Telegraph.
“While Mr. Johnson has been clear that the $500k was a reimbursement and not a payment, to avoid disruption and continue moving forward, he and Winners Alliance have agreed to fund the $500k to the plan so that all creditors can benefit and receive a greater distribution in connection with the company’s reorganization and efforts to resurrect the league,” a spokesperson said, according to Front Office Sports.
Johnson and the league deny wrongdoing.
The payment was described as a reimbursement for millions Johnson advanced, and the allegations were called “unfounded and false.”
Under the revised plan, athletes will now receive 70 percent repayment — or $4.9 million of the roughly $7 million owed — down from the earlier plan of about 85 percent, according to The Telegraph.
Vendors will receive around 14 to 15 percent repayment, up significantly from the original plan, according to Front Office Sports.
Vendors will now split about $1.8 million versus roughly $200,000 previously, partly due to Johnson’s repayment.
Vendors accused the league of “shocking incompetence,” according to Front Office Sports, and claimed Johnson’s payment lacked proper board approval.
Athletes like Melissa Jefferson-Wooden and Kenny Bednarek are open to returning, according to Front Office Sports, while Josh Kerr expressed concern for lesser-known athletes relying on prize money, according to The Telegraph.
The revised plan is designed to avoid lawsuits, secure court approval, and keep the league alive, with hopes of relaunching in 2026, according to Front Office Sports.
Court approval remains pending, with a hearing expected next month.