Jon Rahm is leaving LIV Golf after his lawyer described the proposed terms as “unacceptable,” dealing a significant blow to the breakaway tour as it seeks to relaunch following its bankruptcy filing.

Alongside Bryson DeChambeau, Rahm was one of the most high-profile golfers to leave the PGA Tour for the Saudi‑backed league, which had been spending lavishly to attract talent.

LIV Golf entered bankruptcy protection last month after its Middle Eastern backers withdrew their financial support.

The circuit is aiming to restart next year with new investors under the banner “LIV 2.0.” Keeping marquee players such as Rahm was viewed as essential to the tour’s viability.

“Mr. Rahm has independently reviewed the proposed terms of LIV 2.0 as the parties have been referring to it, and has determined that those terms are unacceptable to him, and he will not be participating going forward in LIV 2.0,” his lawyer John Beck told a U.S. Bankruptcy Court of New Jersey hearing on Wednesday.

Beck said that “advanced discussions for a consensual separation agreement between Mr. Rahm and LIV” are underway, according to a courtroom audio recording verified by AFP.

That agreement is expected to be submitted to the court next month, he added.

“If the parties are unable, for any reason, to reach a consensual separation agreement, Mr. Rahm intends to pursue his objection through legal channels,” Beck said.

LIV Golf did not reply to an AFP request for comment.

Launched in 2022, LIV Golf’s entry sparked deep divisions in the sport, prompting several of golf’s biggest names to abandon the PGA Tour for lucrative contracts.

Saudi Arabia’s Public Investment Fund (PIF) poured an estimated $5 billion into the tour before abruptly ending its support earlier this year.

Bankruptcy filings reveal that LIV owes between $500 million and $1 billion in liabilities to at least 1,000 creditors, including leading players.

Rahm, DeChambeau and fellow golfer Dustin Johnson hold the largest unsecured claims against the tour, each exceeding $5 million in overdue payments, according to the bankruptcy documents.

Nevertheless, new lead investor BC Partners Credit has pledged an initial funding commitment of up to $300 million to assist LIV’s relaunch targeted for 2027.

Tour officials have outlined a condensed schedule and reduced prize money, with events planned across five continents, including Australia, South Africa, Mexico, England, Hong Kong and the United States.

Representatives for Rahm did not respond to an AFP request for comment on the 31‑year‑old’s future plans.

Recent reports have linked several LIV stars with potential returns to the U.S.-based PGA Tour.

The PGA Tour has stated that it currently has no intention of offering LIV players a pathway back.

Rahm remains active on the DP World (European) Tour, although he announced on Tuesday that he will miss the upcoming Spanish Open to attend the birth of his fourth child.

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