I am not a lawyer (IANAL), but I'm not sure USATT is in any legal jeopardy. If you read posts of Larry Hodges about discussions at the board meeting at his blog (see also earlier posts he references there):
http://www.tabletenniscoaching.com/node/3033
He says it right there that it is HPD's responsibility to define selection criteria. He disagrees with it strongly, but still. They said 1(trial)+2(committee choice), others would've preferred 2-1 or even 3-0 scheme. What's for courts to decide?
if you have read my post earlier, someone on Wang Chen's corner has already commented and I feel it makes perfect sense.
Here is someone with a law degree from Harvard and Columbia commenting:
== Gail Kendalls comments ==
My comments below come directly from the Act of Congress establishing and funding the United States Olympic Committee.
The Act clearly requires that national governing bodies like the USATT must send the players who are currently our very best to represent our nation in each and every Pan Am and Olympic Game.
All our athletes must have an equal opportunity to participate in competition without discrimination. No sports organization like the USATT will continue to be recognized as a national governing body if it fails to comply with this requirement.
The customary open Trials clearly comply with US law; discretionary selection, by its nature, can never be proven to be compliant. I recommend that the USATT continue to use the customary open Trials in order to avoid disruptive controversy and possible injury to its standing as a national governing body.
Relevant excerpts from the law regarding the purpose of, and requirements for, the USOC and its national governing bodies follow:
36 U.S.C. Section 374(4):
“obtain for the United States, either directly or by delegation to the appropriate national governing body, the most competent amateur representation possible in each competition and event of the Olympic Games and of the Pan-American Games;”
36 U.S.C. Section 391(b):
"No amateur sports organization...is eligible to continue to be recognized as a national governing body unless it…provides an equal opportunity to amateur athletes…to participate in…competition…without discrimination on the basis of…age…or national origin….”