Chivas USA Contracts as MLS Announces Realignment, Los Angeles Market Strategy

In a move everybody saw coming, MLS club Chivas USA will officially cease operations effective immediately, as the league will realign its current structure with plans to add a second team in Los Angeles in 2017.    

MLS commissioner Don Garber confirmed the news to Sports Illustrated's Brian Straus, while releasing a statement on the new franchise:

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As part of our new strategy for Southern California—a major hotbed of soccer participation and fan support—we believe that engaging with a new ownership group which has the resources and local community ties, and a plan for a dedicated soccer-specific stadium, provides us with the best chance for success.

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He also wrote a letter to the club's fans, via the MLS' official website:

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Dear Chivas USA Supporters,

Later today, the League will announce a new strategy for the Los Angeles market. After conducting a comprehensive strategic review of the market and Chivas USA’s operations, we will announce that effective this afternoon, Chivas USA will cease operations. This was a very difficult decision. We want to thank you, the fans, for ten years of unconditional support. We are grateful for your commitment to the club and to the sport.

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Chivas went through a multitude of issues in the front office and never managed to escape the shadow of its bigger brother, the LA Galaxy. And with the on-field product suffering in recent years, the league's vote in favor of the team folding was unanimous.

Plans regarding the new Los Angeles franchise will be made clearer Thursday, although several big names in sports are already known to be a part of the group that will control its operations, including Henry Nguyen and Vincent Tan.

As part of the realignment, Sporting Kansas City and the Houston Dynamo will move to the Western Conference, while Orlando City and New York City FC will make their debut in the Eastern Conference. Here's a glance at the new-look MLS:

Eastern Conference	Western Conference
Chicago Fire	Colorado Rapids
Columbus Crew	FC Dallas
D.C. United	Houston Dynamo
Montreal Impact	Sporting Kansas City
New England Revolution	LA Galaxy
New York City FC	Portland Timbers
New York Red Bulls	Real Salt Lake
Orlando City SC	San Jose Earthquakes
Philadelphia Union	Seattle Sounders
Toronto FC	Vancouver Whitecaps

Atlanta and the new Los Angeles franchise will join in 2017, bringing the total of clubs back to 22.

The biggest question now revolves around the future of the players still in the Chivas squad. As shared by Goal's Cristian Nyari, there are plenty of immediate contributors who suddenly find themselves out of a job:

As reported by Straus, the MLS will hold a dispersal draft in November, with details on how the process will work yet to be announced. The deadline for teams to exercise contract options falls on Dec. 1, and players without a guaranteed contract beyond this season could find themselves without a club.

Perhaps the biggest name is Erick Torres, the Mexican super-talent on loan from Guadalajara. The MLS has the right to purchase his contract, and following his excellent season for Chivas, the league is widely expected to do just that.

Chivas USA won the Western Conference regular-season title once during its existence, in 2007.

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