On Tuesday, the breakaway tour filed for Chapter 11 bankruptcy in New Jersey. While the move allows the league to keep the business, it doesn’t change that LIV owes hundreds of millions to a billion in liabilities to a horde of creditors. A recent update from NUCLR Golf on X provides the details.
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LIV’s liabilities range from $500 million to $1 billion, with at least 30 creditors reportedly owed money. Notably, they currently have an estimated $100 million to $500 million in assets. Meanwhile, Saudi Arabia’s PIF, which invested more than $5 billion in the league before withdrawing its investment in April, will lend a $49.6 million loan for the bankruptcy and reorganization process.
However, LIV Golf ties this funding to specific case milestones while navigating a court-supervised restructuring support agreement with BC Partners Credit, which the league formally named as its new lead investor. Moreover, the creditors LIV Golf listed in the bankruptcy filing are only for third-quarter payments that remain outstanding. Not the entire contract figures owed.
The list has several names, including golfers Jon Rahm ($7.5m), Bryson DeChambeau ($5.7m), Dustin Johnson ($5.5m), Cameron Smith ($4.8m), Tyrrell Hatton ($3.4m), and Brooks Koepka ($1.7m). Notably, Koepka left LIV Golf in December 2025 and joined the PGA Tour shortly after in January 2026 through the Returning Member Program. Anyway, YouTube golf content creator Rick Shiels and the State of Louisiana are each owed over $1 million.
Regardless, LIV Golf’s bankruptcy does not mean the league is going away. Instead, it represents a step toward restructuring the organization under a new business plan. That plan centers on the proposed ‘LIV 2.0,’ which is expected to be introduced next year with BC Partners on board. Reportedly, the revamped league will feature a shorter schedule and a reduced prize pool.
However, according to NUCLR Golf, existing players will not have to remain with LIV Golf once the new season begins, and the bankruptcy proceedings will address any remaining amounts on their contracts. BC Partners’ funding is reportedly contingent on marquee players such as Rahm and DeChambeau remaining tied to the league.
Against that backdrop, LIV CEO Scott O’Neil has outlined an expanded vision for the tour’s next phase. LIV Golf expects to expand its field from 57 to 75 players and also make some notable changes to the format. For the first time, LIV could introduce a 54-hole cut, while Monday qualifiers would allow additional players to earn their way into tournaments. LIV Golf reportedly communicated these details to its players through a group chat, and Rahm and Danny Lee have since left it.
Despite the uncertainty surrounding the league, O’Neil remains confident in LIV Golf’s long-term future.
“Now it is time to enter the next phase of LIV Golf,” O’Neil said in his plans. “Today, we took an important step forward to get there. LIV Golf has entered a court-supervised restructuring process that provides us with the time and framework to address previous financial obligations and complete a transaction that will make the League’s next phase a reality.
“Put simply, this process is designed to build a stronger and more sustainable future for LIV Golf.”
The bankruptcy news comes after LIV Golf laid off a significant portion of its workforce, while several of its vendors have also filed lawsuits against the league. Meanwhile, Rory McIlroy believes LIV Golf’s financial troubles could trigger a player exodus, with the four-time major champion acknowledging that the league’s revamped model may no longer offer the same financial appeal that initially attracted some of the game’s biggest names.
McIlroy also suggested that a wave of departures could leave the PGA Tour and DP World Tour facing important decisions over whether, and under what conditions, to reintegrate LIV Golf players. He believes their return could ultimately strengthen the sport. But whether that exodus actually materializes remains to be seen.