The 2009 America's Cup in Valencia has been postponed because of a legal row.
Alinghi have won the last two races
BMW Oracle Racing and champions Alinghi have been in a dispute over Desafio Espanol's status as challenger in the prestigious yachting competition.
San Francisco-based BMW Oracle say the Swiss defender chose an illegitimate yacht club to help set rules which are unfairly weighted in Alinghi's favour.
Alinghi last week rejected the latest proposal from BMW Oracle which included changes to the umpiring of the regatta.
A statement from America's Cup Management on the official race website read: "The ongoing uncertainty leaves the organisers no choice but to delay the event.
"Many indicators demonstrate a lack of viability to stage the event in 2009 to the same standards as the 2008 race."
Alinghi said they understood why ACM had taken their decision adding they were "considering various scenarios for a Cup held in Valencia in either 2010 or 2011 and the implications for the team".
But BMW Oracle team say ACM have been too hasty, with a spokesman saying: "There have been many opportunities to resolve this without taking this step. It's unfortunate and unnecessary."