New Zealand crew members were catapulted into the water when their catamaran capsized before reaching the start line of an America's Cup semi-final race.
Despite Tuesday's mishap, Team NZ hold a 3-1 lead over Great Britain's Land Rover BAR in Bermuda in their best-of-nine series to face Team USA in the final.
In the other semi-final, Australian skipper Nathan Outteridge's Swedish team Artemis Racing lost twice to Team Japan to slump behind 3-1.
All crews had to contend with rough seas and high winds in Bermuda's Great Sound, with the Kiwis coming undone ahead of their second race when their 50-foot catamaran's hull upturned.
The incident sent some of the six-person crew into the water and others suspended, but all were safe and uninjured.
BAR were awarded the race win as a result of the incident.
After winning Tuesday's first race, New Zealand are in doubt for the rest of the regatta after their boat showed signs of damage from the high-speed impact.
British skipper Ben Ainslie expressed hope their opponents would return to the race, while NZ captain Peter Burling was cautiously optimistic of continuing.
"The guys have taken the boat out and assessed the damage, of which we have quite a bit," Burling said.
"We feel like we'll be able to repair it and get back into action.
"We'll bounce back from this."
A forecast for stronger winds could see racing cancelled on Wednesday, and therefore buy Team NZ some extra time for any running repairs.
In the day's other semi-final, Japan gained a buffer over Artemis Racing, who struggled to control their boat in the strong winds.
At one point in the second race, Olympic gold medallist Outteridge's crew sailed off the course completely and incurred a penalty from which they could not recover.
"It was pretty tough out there," Outteridge said.
"We had plenty of close moments (to the NZ capsize) ourselves."
Artemis also suffered damage as they reached speeds of 47 knots, the fastest at this point in the regatta.
The semi-final winners will go head-to-head to decide who gets to challenge holders Oracle Team USA for the America's Cup, starting on June 17.
