Former world No 1 Jon Rahm has announced he is leaving LIV Golf, depriving the breakaway circuit of one of its biggest stars as it attempts to navigate bankruptcy proceedings.
Rahm's lawyer, John Beck, told a bankruptcy hearing on Wednesday that the two-time major champion reached the decision after reviewing the details of LIV Golf's planned next phase.
"Mr Rahm independently reviewed the proposed terms of LIV 2.0, as the parties refer to it, and determined that those terms are unacceptable to him, and he will not be participating in LIV 2.0 going forward," Beck told the court.
Other golfers have also asked a US bankruptcy judge to terminate their contracts and clarify their ability to negotiate with other tournament organisers and sponsors, amid unpaid LIV contracts.
LIV has agreed to terminate Sergio Garcia's contract after determining the circuit would not honour its terms. Lawyers for Bryson DeChambeau, Cameron Smith, An Byeong-hun, Marc Leishman, Cameron Tringale and Matthew Wolff have also asked the judge to allow those players to exit their old contracts.
Terminating those deals would not prevent the golfers from agreeing to join LIV 2.0.
Rahm was among the most prominent players to sign with LIV Golf, claiming three consecutive individual season titles since joining the league in late 2023, eight months after winning the Masters for his second major.
When LIV Golf filed for Chapter 11 protection in New Jersey last month, the filing listed several star golfers as creditors still owed millions of dollars in unsecured claims. Among them, Rahm held the largest claim of any golfer at $7.5 million.
Earlier this week, LIV secured financing from BC Partners to help the circuit emerge from restructuring and shore up its financial footing ahead of the 2027 season. The financing, of up to $300 million, still requires bankruptcy court approval and must meet customary conditions.
BC Partners Credit, which provides financing to mid-market companies, said the funds would support LIV Golf's next phase, under which golfers would become part-owners of equity in the league and its teams.
