Jon Rahm dealt a major blow to LIV Golf during a U.S. Bankruptcy Court hearing on Tuesday, Oct. 7, 2026, when his attorney announced that the two-time major winner will not participate in the proposed LIV Golf 2.0 restructuring after finding its terms unacceptable.
The announcement from Rahm's legal counsel arrived as the breakaway golf league manages Chapter 11 bankruptcy proceedings in New Jersey following the withdrawal of financial backing from Saudi Arabia’s Public Investment Fund.
Lawyer John Beck Announces Rahm Rejects LIV 2.0 Terms
Appearing before the bankruptcy court, attorney John Beck delivered the formal notice regarding his client’s future with the circuit.
“Mr. 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 in LIV 2.0,”
John Beck, attorney for Jon Rahm
Beck noted that Rahm and league representatives are currently engaged in advanced discussions regarding a consensual separation agreement, with a target date of October 15 for finalization ahead of a broader November 5 bankruptcy court deadline reported by USA Today.
BC Partners Restructuring Plan Faces Player Commitment Hurdles
The departure of Rahm complicates a newly unveiled restructuring support agreement between LIV Golf and New York-based investment firm BC Partners. That arrangement outlines a $300 million investment, a shortened 10-event schedule featuring smaller tournament purses, and an offering that grants players a 52.5 percent equity share in the reorganized entity.
To accommodate the transition, the player commitment deadline for LIV 2.0 was moved to October 25. However, Rahm’s outright rejection creates substantial optics and operational hurdles for a model that relies heavily on convincing top-tier talent to accept equity ownership.
Jon Rahm Considers Paths Back to PGA Tour
With his tenure alongside the Saudi-backed circuit drawing to a close, attention turns to how the 31-year-old Spaniard might eventually seek a return to traditional circuits. Rahm previously signed a reported contract worth $350 million when he defected from the PGA Tour in December 2023, securing three consecutive individual season titles during his time with LIV.
PGA Tour CEO Brian Rolapp stated there are no plans to bring back the program that facilitated Brooks Koepka’s return at the start of the year. Consequently, one potential blueprint mirrors the path taken by Patrick Reed, who opted not to re-sign with LIV and subsequently served a one-year suspension before playing through the DP World Tour to improve his status. Under this framework, Rahm could potentially target full-time PGA Tour membership by the 2028 season.
Sergio Garcia Secures Contract Release Amid Legal Proceedings
Rahm is not the only high-profile figure severing ties with the circuit during its Chapter 11 restructuring.
