LIV Golf has filed for Chapter 11 bankruptcy protection in New Jersey as it seeks to restructure the league and prepare for a potential 2027 relaunch. The filing comes after Saudi Arabia’s Public Investment Fund announced it would end its planned financial support after the 2026 season, following years of heavy investment.
Rory McIlroy believes the restructuring could lead some LIV players to explore other options in professional golf. He made the comments ahead of the Irish Open at Trump International Golf Links in Doonbeg, where LIV players are also competing. LIV’s proposed new model would give players a majority ownership stake as the league seeks to emerge from bankruptcy in early 2027.
LIV Golf files for bankruptcy protection
LIV Golf filed for Chapter 11 bankruptcy protection on Sept. 8 in the U.S. Bankruptcy Court for the District of New Jersey. The court-supervised process is intended to give the league time to restructure its finances and pursue a new ownership model.
LIV listed between $100 million and $500 million in assets and between $500 million and $1 billion in liabilities. The filing identifies more than 1,000 creditors across its court documents.
LIV CEO Scott O’Neil described the filing as a step toward the league’s next chapter. The proposed restructuring would give players a majority ownership stake while BC Partners and other investors provide financing.
What the Chapter 11 filing actually means
Chapter 11 allows a company to continue operating while it restructures its debts under court supervision. LIV is using the process to address its financial obligations while pursuing new financing and a proposed ownership structure.
LIV has asked the bankruptcy court to reject its existing player contracts. If the court approves those requests, affected players could become unsecured creditors and negotiate new arrangements under the proposed LIV 2.0 model.
LIV is also seeking recognition of its U.S. bankruptcy proceedings in England and Wales. That step is intended to help protect the league’s international assets and operations during the restructuring.
Rory McIlroy predicts a player exodus
McIlroy spoke with reporters ahead of the Irish Open at Trump International Golf Links in Doonbeg. He predicted that some LIV players would leave the league following the bankruptcy filing.
McIlroy said LIV’s original offering looked more attractive than the proposed LIV 2.0 model from a financial standpoint. He also said the bankruptcy could strengthen the DP World Tour if LIV players become available to compete elsewhere.
He did not identify specific golfers who might leave. Instead, his comments focused on how the restructuring could affect professional golf and the tours competing for players.
Which stars face the toughest decisions ahead
Jon Rahm tops the full list of LIV creditors at $7.5 million. Bryson DeChambeau follows closely behind him at about $5.7 million owed. Dustin Johnson and Cameron Smith also appear among the largest listed claims.
They do not include any future payments tied to existing player agreements and contracts. Those figures represent claims listed in the bankruptcy filing.
Rahm has said in the past that his contract still had years remaining. That earlier statement suggests not every star is eager to leave right away. The restructuring could lead to further discussions about their future with LIV.
Why some players may choose to stay
LIV’s proposed new structure would make players the majority owners of the reorganized league. Under the restructuring plan, players would receive a majority equity stake rather than relying solely on the guaranteed contracts that helped launch LIV.
The proposed LIV 2.0 model would also expand fields to 75 players and introduce cuts and additional pathways, including Monday qualifying.
The league has outlined the model as part of its plan to return in 2027, although the restructuring still requires court approval and player commitments.
How the DP World Tour could benefit
McIlroy said the DP World Tour could benefit if LIV players leave the league. He argued that established LIV golfers returning to other tours could strengthen fields and make tournaments more competitive.
The DP World Tour already has a strategic relationship with the PGA Tour, making it one potential destination for golfers seeking opportunities outside LIV. However, returning players would still have to meet the relevant membership and eligibility requirements.
McIlroy’s comments came as LIV began its bankruptcy restructuring. The number of players who ultimately leave the league remains uncertain, and any moves for 2027 will depend on the restructuring and individual player decisions.
The PGA Tour also stands to gain
The PGA Tour could also benefit if LIV players decide to leave the league. Returning players would bring established names back into the PGA Tour system. Any move back would depend on the players meeting the tour’s eligibility requirements.
Some LIV players may consider the PGA Tour as they assess their options under the new structure. The PGA Tour has its own membership rules and requirements for players returning from LIV. Those factors could influence where individual golfers compete next.
A return of LIV players could also bring more familiar names back to PGA Tour events. However, it remains unclear how many golfers will leave LIV or pursue PGA Tour membership. Those decisions are expected to become clearer as the restructuring process moves forward.
What LIV 2.0 could look like
LIV plans to emerge from Chapter 11 and begin a new version of the league in early 2027. BC Partners has proposed roughly $300 million in financing as part of the restructuring, while the Saudi Public Investment Fund is no longer expected to provide LIV’s previous level of financial backing.
Players face an important deadline in October as LIV seeks commitments needed to complete the restructuring. The proposed agreement requires a sufficient number of players to commit to the new league.
LIV says its new model will put players at the center of the organization, with a majority ownership stake and team-based golf remaining central to the business. The final 2027 roster remains unresolved.
TL;DR
- LIV Golf filed for Chapter 11 bankruptcy protection on Sept. 8 in New Jersey.
- Rory McIlroy expects some LIV players to leave after the league’s bankruptcy filing.
- Jon Rahm and Bryson DeChambeau are among LIV’s largest listed player creditors.
- LIV’s proposed restructuring would give players a majority ownership stake ahead of a planned 2027 relaunch.
- The DP World Tour and PGA Tour could become potential destinations for players who leave LIV, although their eligibility and future options remain uncertain.
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This article was made with AI assistance and human editing.
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