Dera Coach,
Please read NFHS Softball Rule 7-4.g, and the Effect listed. This covers what occurred in your game, as the catcher did not catch the third strike with two outs, and left the field without retiring the batter. Since all offensive players continued to run, the play was ruled correctly by the umpires based on that rule.
We are certainly sorry neither you nor your players apparently knew this rule. You may find it beneficial to your team to learn and teach them all of the game rules which may apply.
Sincerely,
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