LIV Golf has declared Chapter 11 bankruptcy, allowing stars who signed up to the breakaway league to walk away from their mega cash contracts. The beleaguered organisation announced on Tuesday that it has entered into a restructuring support agreement, with plans to reshape LIV Golf into a league expected to be "majority owned by players." The rival to the PGA Tour has reportedly secured a new investor in BC Partners.
Restructuring and Player Contracts
The development comes just weeks after the end of the 2026 season, which saw a "majority" of league employees lose their jobs as the circuit battles for survival following the Saudi Arabian Public Investment Fund's (PIF) withdrawal of financial support earlier this year.
Reports suggest players have no obligation to commit to the restructured version of LIV, which is set to launch in 2027. Additionally, those currently under contract with LIV will have those deals cancelled due to the court filing, with the final amounts owed to players and other creditors determined through the legal process.
Statement from LIV Golf CEO
"The people of LIV Golf, led by the players, have continued to show incredible resilience, commitment, and a shared belief in what we are building," began a statement from LIV Golf CEO Scott O'Neil. "Thanks to their tireless work, LIV Golf has created a foundation to entertain and inspire the next generation of global golf fans around the world."
"This process gives us the structure and time to pursue a landmark transaction and begin the next chapter of LIV Golf – one built around the fans, an innovative, player-first ownership model, and a part of the global golf ecosystem. We are excited about what lies ahead and yet, there is still much to accomplish in the months ahead."
Creditors and Legal Proceedings
The agreement still requires approval, with LIV also "seeking recognition of the U.S. Chapter 11 proceedings in England and Wales to preserve the value of its international assets and operations." According to The Financial Times, Jon Rahm and Bryson DeChambeau are named as the top two unsecured creditors. Reports claim LIV owes Rahm $7.4 million and DeChambeau $5.7 million. The tour also reportedly owes Dustin Johnson, Cameron Smith, and Tyrrell Hatton £5.4 million, £4.8 million, and £3.3 million, respectively.
In correspondence sent to supporters, O'Neil pointed out that other sporting organisations, including the Los Angeles Dodgers and Leeds United, have previously entered bankruptcy and delivered a message of hope. "I have often said that our role in golf should be to complete, not compete," his letter stated. "I believe that more strongly today than ever. I know that the next phase of LIV Golf will be an important part of a healthier global golf ecosystem."
"It will create more opportunity for players, bring elite golf to more parts of the world, and give teams and players a real stake in the future they are building. Transitions are rarely easy, but they are powerful when you know where you are going. And we do."
