You will need to create your brackets first. Create your main bracket and your hard luck bracket.

Then you will want to link your spots (Link brackets together). 

Go to Menu > Manage > Brackets/Round-Robin > Brackets Linker.

1. Choose the main bracket on the left 

2. Choose your hard luck on the right.

2. Click on the spot where the loser of that match will move into the Hard Luck/Second chance bracket.

3. Choose the spot where they will go in the hard luck bracket.

4. Click on Link Loser.