LIV Golf has initiated Chapter 11 bankruptcy proceedings in the United States, a strategic move the organization describes as an effort to “preserve the company’s business” following the withdrawal of its multibillion-dollar funding from Saudi Arabia’s Public Investment Fund (PIF) in April.
This legal filing effectively terminates existing player contracts associated with the previous iteration of the league. Consequently, all participants are now free to leave, with any outstanding financial obligations to players and other creditors set to be managed through the court-supervised restructuring process.
Despite this shift, the breakaway league has secured a new investor in BC Partners and plans to launch a majority player-owned league early next year. While the Chapter 11 process permits LIV to begin negotiations regarding participation in this future venture, there is no requirement for players to sign on to the new format, even if they previously held multi-year agreements. It remains uncertain at this stage when players might be permitted to enter into formal discussions with other professional golf tours. The report also notes that regardless of whether they had previously signed multi-year contracts with LIV Golf, sport understands there is no obligation on players to sign on to LIV 2.0.
