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Rahm Rejects LIV Golf 2.0, Citing Unacceptable Terms
Confirmed
In Short: LIV Golf filed for Chapter 11 bankruptcy last month, and Rahm's lawyer confirmed that the Spaniard has rejected the proposed terms for LIV 2.0, with both sides now working on a separation agreement.
At a bankruptcy hearing for LIV Golf on Wednesday, Rahm's lawyer stated that the two-time major champion has independently reviewed the proposed terms for LIV 2.0 and found them unacceptable, leading Rahm to opt out of the league's next phase.
Rahm, listed as the top unsecured creditor with over $7 million owed to him for the third quarter of 2026, had previously expressed willingness to fulfill his contract with LIV 1.0.
The PGA Tour has been hesitant to negotiate with players until there is clarity on their contractual situation with LIV Golf, and Rahm's decision now opens the door for potential discussions with the PGA Tour.
Rahm withdrew from the Spanish Open on Wednesday, citing the upcoming birth of his fourth child, but his lawyer's announcement at the bankruptcy hearing was the primary reason for his absence.
LIV Golf filed for Chapter 11 bankruptcy last month, and Rahm's lawyer confirmed that the Spaniard has rejected the proposed terms for LIV 2.0, with both sides now working on a separation agreement.
LIV CEO Scott O’Neil stated that the league is committed to building a distinctive, player-owned league that complements the wider game, but Rahm's departure is a significant blow to LIV's efforts to attract investors and retain top talent.
Since signing with LIV in December 2023, Rahm has won three straight season-long individual titles, making his decision to leave LIV 2.0 particularly impactful.
Rahm's lawyer, John Beck, told a US bankruptcy court hearing that Rahm had independently reviewed the terms for LIV 2.0 before deciding they did not work for him.
The PGA Tour's reluctance to negotiate with players until their contractual situations with LIV are resolved means Rahm may now explore options for a return to the PGA Tour.
Rahm's decision comes as Sergio Garcia was recently granted a release from his contract by a New Jersey bankruptcy court, indicating a trend of high-profile players leaving LIV Golf.
LIV Golf's restructuring plan includes a $300 million investment by BC Partners, but Rahm's departure raises questions about the league's ability to retain top talent and attract investors.
With Rahm's decision, LIV Golf faces a significant challenge in rebuilding its roster and maintaining its status as a competitive golf league.
What this adds
Rahm's lawyer's announcement at the bankruptcy hearing provides clarity on his contractual situation with LIV Golf.
The PGA Tour's stance on negotiations with players until their LIV contracts are resolved may lead to discussions between Rahm and the PGA Tour.
Rahm's departure is a significant blow to LIV Golf's efforts to reinvent itself and attract investors.
What's confirmed
- Rahm's lawyer made the announcement during LIV Golf's bankruptcy hearing on Wednesday, stating Rahm "has independently reviewed the proposed terms of LIV 2.0... and has determined that those terms are unacceptable to him, and he will not be participating going forward," according to Front Office Sports.
What's still developing
- Those conversations may not happen immediately, though.
- With the bankruptcy filing, Rahm and other LIV players were reportedly able to leave the tour of their own accord, with no requirements to sign on for LIV Golf 2.0.
- Earlier this week, LIV moved its player-commitment deadline for next season back two weeks, to Oct. 25, though reports noted that Rahm was given a later deadline, Nov. 5.
- Also on Monday, LIV and BC Partners announced a restructuring support agreement that includes a $300 million investment by BC Partners in LIV 2.0, which will feature a smaller schedule and purses, though also offer players a 52.5% equity share in the restructured league.
- The 31-year-old Spaniard isn’t the only player who is departing LIV ahead of the league’s next phase.
- “We believe deeply in the future of this league and in the opportunity to build something distinctive alongside our players,” LIV CEO Scott O’Neil said in a statement.
- However, the revamped league will not be honoring those contracts, and the new offer on the table, which included an ownership stake, is not something Rahm is interested in.