Jon Rahm has reached a separation agreement with LIV Golf, ending his contractual obligations to the Saudi-backed league in exchange for the exclusive return of his name, image, and likeness rights.
The agreement, disclosed in court records Wednesday, follows LIV Golf's Chapter 11 bankruptcy filing and Rahm's decision not to participate in the proposed LIV 2.0 structure.
The deal requires approval from U. S.
Bankruptcy Court of New Jersey Judge Michael B. Kaplan on Nov.
5.
Under its terms, Rahm will relinquish all monetary and economic claims against LIV Golf and its affiliates, while his existing contracts with the league will be terminated.
Court records identify Rahm, 31, as LIV Golf's largest unsecured creditor.
He was owed $7.5 million when the league voluntarily filed for Chapter 11 protection on Sept.
8, although the remaining value of his contract was believed to exceed $100 million.
The Spanish golfer reportedly signed a multiyear deal worth more than $300 million when he left the PGA Tour for LIV Golf in December 2023.
During his three seasons with the league, from 2024 through 2026, he won the individual season championship each year and accumulated nearly $107 million in on-course earnings.
Intellectual Property and Team Interests
The separation agreement also addresses Rahm's intellectual property and ownership interests.
He will regain exclusive rights to his name, image, and likeness and retain the Rahmbo and Legion XIII marks, which LIV Golf agreed to transfer to him.
However, the agreement prohibits Rahm from using the Legion XIII name in another league, such as TGL.
LIV Golf will also retain ownership of historical content featuring Rahm from his time competing in the circuit.
In exchange for the intellectual property rights, Rahm will forfeit all equity or membership interests in his LIV Golf team.
Rahm's attorney, John Beck, previously informed Judge Kaplan on Oct. 7 that his client had rejected the proposed terms of the league's planned restructuring.
"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," Beck said.
Rahm's departure from LIV Golf leaves his potential return to the PGA Tour unresolved.
PGA Tour CEO Brian Rolapp has indicated that the tour will not reinstate its Returning Member Program, the pathway that allowed former LIV Golf captain Brooks Koepka to return in February.
Rahm is scheduled to compete in the Abu Dhabi Championship from Nov. 5-8, the second-to-last tournament of the DP World Tour season.
He skipped the Spanish Open the previous week because of the pending birth of his fourth child.
Meanwhile, LIV Golf's future remains uncertain as its bankruptcy proceedings continue.
During Wednesday's hearing, LIV Golf attorney Robert Fitzgerald told Kaplan that the tour should know by the end of October whether the league will cease operations or proceed with LIV 2.0.
Players have until Oct.
25 to decide whether to participate in the proposed new structure, although LIV Golf has said its new investor, BC Partners, may change that deadline.
