LIV Golf Sued for Up to $630 Million Over Alleged World Golf League Concept

LIV Golf are going through a major turmoil following the withdrawal of financial support from the Public Investment Fund (PIF) of Saudi Arabia.

LIV Golf Sued for Up to $630 Million Over Alleged World Golf League Concept

LIV Golf CEO Scott O'Neil (Image via Bloomberg)

Amid the uncertainty regarding their future, LIV Golf now faces another trouble. Several companies have alleged that they used their World Golf League concept and are seeking up to $630 million in damages.

In April, reports from Sky Sports emerged that the Premier Golf League (PGL) would file a lawsuit against the breakaway tour. In the affidavit filed by the lawyers representing the World Golf Group (WGG), they accused LIV Golf, the Public Investment Fund (PIF) and Golf Saudi of breach of confidence and unlawful means conspiracy.

Two individuals mentioned in the lawsuit include former WGG founders Richard Marsh and Jed Moore. They accused the PIF of breach of fiduciary duty, which helped the Sovereign Wealth Fund of Saudi Arabia to launch LIV Golf in June 2022.

As per the complaint, the idea of the world golf league was hatched in 2009 by Andy Gardiner. He later enlisted Marsh as a consultant in 2016. As several partners joined them, the WGG was founded in 2018.

In 2019, Gardiner and Moore met with PIF Governor Yasir Al-Rumayyan about the Saudis investing in the PGL. According to the lawsuit, they secured $1 billion in shares from Raine Mulligan Co. in late 2019 and PIF agreed to put in $490 million. The Saudis, however, agreed to pay the money only if the league was able to secure top golfers.

The PGL then reached to major champions on the PGA Tour like Phil Mickelson, Justin Rose, Patrick Reed and Adam Scott. A total of 11 players were offered contracts in June 2020.

Players however, were reluctant to sign due to the fear of the sanctions from the PGA Tour. The suit alleges that the PIF then became interested in buying the league than then being minority owners. Both Gardiner and Marsh were offered positions by the PIF. Marsh later re-signed from the PGL and joined the Saudis in May 2021.

With 2-time major Greg Norman serving as the CEO, LIV Golf recruited several big names on huge contracts and played their first event in June 2022.

It was also in April this year when the league suffered a major blow. After the Masters Tournament, reports emerged that the PIF were pulling their plug and stopping their funding.

This was later confirmed following the resignation of Al-Rumayyan as the chairman. The Saudis are reported to have invested over $5 billion in LIV Golf since its start.

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Jon Rahm open to put his own money to help LIV Golf

At the moment, LIV Golf is trying hard to secure funds which would help them survive. Ahead of The Genesis Scottish Open this week, Jon Rahm expressed that he would be open to putting his own money to help his league.

Jon Rahm
Jon Rahm (Image via X/@DPWorldTour)

Earlier in June, Rahm claimed that he had no idea about business and that he would not be involved in investment pitches. This came after Bryson DeChambeau expressed that he would give his all to help the circuit.

In the press conference on Monday, Rahm was asked whether he would pitch money from his own pocket and help the league. The 2-time major champion dropped a hypothetical answer and stated “never say never.”

Something I’ve learned in life, never say never. I’m not going to say absolutely no to anything that can happen in the future. I know Scott (O’Neil) is doing a lot of work trying to find developers. And there’s many ways around that, as far as putting my money into it, they have not asked me to do that yet.

Jon Rahm told the reporters

The Genesis Scottish Open is Rahm’s first start on a PGA Tour-sanctioned event outside of the majors since the Tour Championship. This event is one of the tournaments that is co-sanctioned by the PGA Tour and the DP World Tour.

It will also be Rahm’s first official start since missing the cut at the U.S. Open last month. It was just his second missed cut in his previous 27 major starts.

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