Jon Rahm is set to leave LIV Golf after deciding that the terms proposed for the breakaway circuit’s next phase were unacceptable.
Rahm’s lawyer, John Beck, confirmed that the Spanish golfer had independently examined the terms being offered as part of LIV 2.0 before reaching his decision.
“Mr Rahm independently reviewed the terms of LIV 2.0 and determined those terms are unacceptable as to him,” Beck said.
Rahm and LIV Golf are now understood to be discussing a consensual separation agreement to formally end their relationship.
LIV Golf Cuts Staff as Restructuring Continues
Rahm’s departure comes as LIV Golf reduces its operations amid a major restructuring of the organisation.
The league reportedly informed a large number of its employees that their employment would end, with the changes linked to the conclusion of the current LIV 1.0 structure.
A LIV spokesman said the funding commitment previously announced by Saudi Arabia’s Public Investment Fund would conclude after the 2026 season.
“As a result, we are scaling back operations as we transition to the next chapter of LIV Golf and work toward making LIV 2.0 a reality,” the spokesman told Golf Digest.
The organisation said employees affected by the changes had been thanked for their work in establishing the league and that support would be provided during the transition.
Saudi Funding Set to End
LIV Golf was launched in 2022 with substantial financial backing from the PIF, which used its resources to help establish a rival circuit to the established PGA Tour.
The league attracted some of the biggest names in professional golf by offering lucrative contracts and substantial prize money.
Players including Brooks Koepka, Dustin Johnson, Bryson DeChambeau and Rahm were among those who moved away from the PGA Tour.
LIV events featured prize funds of around $20 million, while some leading players received contracts and bonuses worth hundreds of millions of dollars.
The PIF’s decision to stop funding the organisation beyond the 2026 season marked a major change in the financial structure that had supported LIV since its launch.
Bankruptcy Filing and New Financing
The organisation has also filed for Chapter 11 bankruptcy protection as it works on the next version of the competition.
Despite the loss of the Saudi funding commitment beyond 2026, LIV has secured a potential $300 million (£227 million) financing arrangement from BC Partners Credit.
The financing forms part of the league’s restructuring as it seeks to establish LIV 2.0.
Players Not Automatically Bound to LIV 2.0
Players with existing multi-year LIV contracts are not automatically required to participate in the proposed LIV 2.0 format, according to BBC Sport.
The league has been given additional time to negotiate terms with its players, with those discussions required to be completed by October 25.
That provision has allowed individual players to assess the proposed terms before deciding whether to continue under the restructured competition.
Rahm has now become one of the first major players to publicly move away from LIV 2.0 after reviewing the proposed arrangements.
Rahm’s Three-Year LIV Record
Rahm joined LIV Golf after becoming one of the most prominent players to leave the PGA Tour for the breakaway series.
He went on to win the LIV championship in three consecutive seasons, establishing himself as one of the league’s leading performers.
His decision to depart therefore comes after a period in which he had been one of the most successful players on the circuit.
LIV’s New Orleans Event Was Cancelled
The restructuring has already led to changes in the LIV schedule.
An event in New Orleans was cancelled earlier in the year as the organisation dealt with the changing financial arrangements surrounding the tour.
LIV’s current structure was built around the backing of the PIF, but that funding arrangement is now due to conclude at the end of the 2026 season.
The organisation is consequently working toward a new operating model while negotiating individual terms with its players.
