Sergio Garcia is pursuing the termination of his LIV Golf contract, a potential path out of the league.
As LIV Golf works toward fulfilling a restructuring agreement following Chapter 11 bankruptcy protection, Garcia’s attorney argued in a six-page court filing late Wednesday that termination “should not be objectionable” to the league because it “is consistent with (LIV Golf’s) statement that the agreement is ‘not part of (LIV Golf’s) go-forward business plan.'”
The Spaniard’s camp further argued that with the contract still in place, “tournament organizers, sponsors and other counterparties may hesitate before dealing with Garcia, who may be unable to represent that they are free of competing contractual commitments.”
LIV Golf is attempting to continue in 2027 and beyond under a so-called “LIV 2.0” business plan after the Saudi Public Investment Fund withdrew its support.
The league has a restructuring agreement with BC Partners Credit, but it includes conditions that must be fulfilled within 35 days of LIV’s bankruptcy filing. At least 50 percent of players with financial claims against the league must agree to participate in LIV 2.0, and that group must also represent at least two-thirds of the total dollar amount of player claims.
Golf Channel reported that LIV Golf has secured more than enough verbal commitments to exceed the conditional threshold. The league’s deadline is Oct. 13.
Garcia, 46, won the 2017 Masters and has collected 11 PGA Tour titles and 16 wins on the DP World Tour (formerly European Tour) over his career. He recently told reporters he plans to play in DP World Tour events in 2027.
In other court filings, an Australian course called Kooyonga Golf Club requested an expedited ruling over whether it can reject its contract to host a LIV Golf event this coming March. Kooyonga claimed it spent $134,000 preparing for the event and wanted the costs reimbursed.
LIV Golf’s next hearing will be on Oct. 7 in the U.S. Bankruptcy Court for the District of New Jersey.
–Field Level Media
