Rahm Forgoes $100 Million to Secure LIV Golf Exit

Golfer Jon Rahm has agreed to a separation agreement with LIV Golf, reportedly forfeiting approximately $100 million (£75 million) in owed payments to secure his departure from the Saudi-backed league. The move comes as LIV Golf, which filed for Chapter 11 bankruptcy protection in September, seeks to move forward with new financing.

Rahm was listed as LIV's top unsecured creditor when the league filed for bankruptcy, with significant sums owed to him. ESPN reported he was due around $100 million from the remainder of a $300 million contract signed in December 2023 when he joined LIV Golf. Despite LIV securing possible financing from BC Partners Credit, Rahm deemed the proposed terms unacceptable and opted for a complete economic walk-away.

As part of the agreement, Rahm will retain the rights to 'Legion XIII,' the LIV team he captained, though he will not be permitted to use the name for a team in the TGL, an indoor golf league co-launched by Tiger Woods and Rory McIlroy.

Rahm was a prominent figure to join LIV Golf after leaving the PGA Tour. While some players, such as Brooks Koepka, have since returned to the PGA Tour, Rahm remained under his LIV contract. He previously reached a deal with the DP World Tour to maintain his membership and remain eligible for the Ryder Cup. LIV golfers are subject to a one-year ban from the PGA Tour, but the DP World Tour offers a pathway for players to gain PGA Tour membership.

In August, Rahm secured his third consecutive LIV season title. He had previously expressed no regrets about joining LIV and voiced confidence in the organizers' ability to make the league sustainable.