Rejection of LIV 2.0 terms

Spanish golfer Jon Rahm decided to leave LIV Golf after reviewing the revised structure proposed by the bankrupt league. Rahm's attorney, John Beck, announced the decision on 7 October 2026 during a Chapter 11 bankruptcy hearing in the United States Bankruptcy Court for the District of New Jersey. Beck stated that his client completed an independent evaluation of the reorganization plan known as LIV 2.0 and determined that the revised contract framework was unacceptable. Rahm won three consecutive individual season titles on the circuit between 2024 and 2026 after signing late in 2023. Court filings indicate that LIV Golf owes Rahm $7.5 million in unsecured compensation, the largest sum owed to any player in the bankruptcy case.

Beck addressed the court to formalize the golfer's stance regarding the proposed reorganization.

“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 as to him, and he will not be participating going forward in LIV 2.0.”

League insolvency and restructuring plan

LIV Golf filed for Chapter 11 bankruptcy protection in New Jersey in September 2026 with estimated liabilities reaching up to $1 billion. The filing occurred approximately five months after Saudi Arabia's Public Investment Fund withdrew its financial backing from the venture. The sovereign wealth fund had injected between $5 billion and $8 billion into the enterprise since its launch in 2022 before ending its commitment due to financial deficits and regional political instability. League organizers outlined LIV 2.0 with reduced prize funds and a consolidated schedule covering tournaments across five continents, including stops in Australia, South Africa, Mexico, England, Hong Kong, and the United States. To finance this operational shift, the league reached an agreement earlier in the week for up to $300 million in credit from BC Partners Credit, which requires approval from the bankruptcy judge.

Wave of player contract terminations

Rahm is not the only competitor seeking to sever ties with the circuit as court proceedings advance. The court previously approved the contract termination of 46-year-old Spanish golfer Sergio Garcia after LIV Golf acknowledged it could not honor his contractual commitments. Legal counsel representing Bryson DeChambeau, Cameron Smith, An Byeong-hun, Marc Leishman, Cameron Tringale, and Matthew Wolff also asked the federal judge to dissolve their existing agreements. Garcia addressed his situation at a press conference while preparing for his next steps.

“I am in the process of disengaging from the Saudi circuit, but there are limitations and restrictions that make it difficult, I hope everything is clarified to see what the best options are without having to go to any kind of trial.”

Uncertain pathways and tour reactions

Beck confirmed that negotiations continue toward a consensual separation agreement between Rahm and LIV Golf, which parties plan to present to the judge next month. If negotiations fail, Rahm intends to pursue formal legal objections in court. Rahm currently holds membership in the DP World Tour but remains outside the PGA Tour. The PGA Tour established a strict posture in August 2026, when chief executive Brian Rolapp confirmed that the circuit has no plans to offer a return path for departing LIV players, following Brooks Koepka's return in January under financial penalties. Speaking at the Baycurrent Classic in Yokohama, Japan, Collin Morikawa reflected on the calculations facing competitors across the sport.

“It's a business decision, it's a decision that a lot of guys aren't going to take lightly.”

Rahm did not compete at the Open de Espana during the week of the hearing due to the birth of his fourth child.