Jon Rahm is set to leave LIV Golf after deciding the proposed terms for the league’s planned 2027 relaunch are unacceptable, his lawyer has told a US bankruptcy court.
The Saudi-backed circuit filed for Chapter 11 bankruptcy protection in September after Saudi Arabia’s Public Investment Fund withdrew its multibillion-dollar funding.
LIV has since secured the possibility of $300million in financing from BC Partners Credit as it tries to keep the league running and prepare for next season.
Rahm, 31, was among LIV’s biggest signings, joining from the PGA Tour in December 2023 in a deal reportedly worth £222m.
He is now listed as the league’s largest unsecured creditor, owed $7.5m (£5.5m).
His lawyer, John Beck, told the hearing that Rahm had “independently reviewed the terms of LIV 2.0 and determined those terms are unacceptable as to him.”
The court later heard that LIV and Rahm’s representatives were “in advanced discussions for a consensual separation agreement between Mr Rahm and LIV”.
The parties hope to finalise the arrangement before a hearing on November 5.
LIV players are owed at least $45m (£33m) collectively and have the option to leave.
The agreement gives the league until October 25 to continue discussions with players about its proposed future terms.
Golfers are not obliged to sign up to LIV 2.0, even if they previously agreed multi-year contracts.
Rahm remained with LIV after several players, including Brooks Koepka, returned to the PGA Tour.
LATEST SPORTS NEWS:
Southampton boss Tonda Eckert handed suspended ban and fine over ‘Spygate’ scandalArsenal, Manchester United, Liverpool and Spurs told Manchester City guilty verdict earlyEngland star angers Thomas Tuchel in Czech Republic win
He also reached an agreement with the DP World Tour in May, keeping his membership and eligibility for next year’s Ryder Cup.
A separate dispute over player contracts also came before the court.
Former Masters champion Sergio Garcia was granted a special arrangement allowing his contract to be terminated and rejected.
Once the agreement is signed, he is believed to be free to negotiate with other parties.
Garcia has said he wants to give himself the “best chance” of playing in next year’s Ryder Cup, although he has not ruled out other options.
Lawyers representing players including Bryson DeChambeau and Cameron Smith sought clarification on whether contract rejection would allow them to discuss their futures with rival tours and sponsors.
LIV’s lawyers did not agree to extend Garcia’s arrangement to the other players, saying they needed more time to review the contracts.
“We are not looking to hold anybody up unduly but we have unfortunately at this point had no opportunity to review those contracts,” LIV counsel Keith Martorana told the court. The issue was adjourned until October 14.
BC Partners Credit head Ted Goldthorpe said he remained confident LIV could recruit enough players by the October 25 deadline.
He said the firm was also working on business and event plans, rehiring staff and “revitalising the LIV”, adding that BC Partners wanted to be involved for the “long-term”.
Our Standards:
The GB News Editorial Charter
