LIV and the PGA: a long legal war

PONTE VEDRA BEACH | For the past seven months, we have learned a lot about the war raging between LIV Golf and the PGA Tour in court. And that’s just the beginning. The next few months promise to be just as revealing.

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The PGA may not have won the war, but it is winning small strategic battles in the proceedings.

Thus, the most recent breakthrough to uncover the pot of roses is the one targeting the governor of Saudi Arabia’s Public Investment Fund (PIF). Two judges of the Californian court, where the debates are raging, recently ruled that Yasir Al-Rumayyan, also nicknamed “The Boss” will have to produce the documents requested in the “Discovery” maneuver and also testify at trial.

Very bad news for this senior leader of the Saudi state who risks treason.

According to court documents obtained by The newspaper, there are many lawsuits in this saga which began at the beginning of August. Here is a summary of the main issues.

“Discovery” can change everything

Lawyers for the PGA Tour, led by Jay Monahan, hit hard by filing their motion against Al-Rumayyan.

According to what is alleged, he is the one who pulls all the strings and makes the decisions. In fact, the governor holds the purse strings in what has cost more than $2 billion so far since the league launched in June. It should be remembered that the PIF, with global assets of more than $675 billion, fully finances LIV Golf.

In the lawsuit, Al-Rumayyan and the PIF brandished a US law providing for foreign sovereign immunity. In his view, he and the Fund are not subject to US law. But faced with the arguments of the PGA and the financial interests of the PIF in LIV, the judges prevented him from hiding behind this law.

The Fund has invested in more than 40 US companies, does business in the United States and has two offices there, one in New York and the other in San Francisco.

To comply with the judges’ request, Al-Rumayyan will have to produce a range of documents and will be called to testify.

What he fears, since by revealing information, he would contravene the laws of his country and risk prison.

Other companies in dispute with the PIF, including Tesla, are watching this case carefully.

Leave the ship

They were 11 golfers who joined LIV Golf to sue the PGA at the start of proceedings. They are only three: Bryson DeChambeau, Matt Jones and Peter Uihlein. LIV Golf, however, joined them.

In September, the legal documents made it possible to lift the veil on the contractual situation of certain players, including Talor Gooch, who has a contract with LIV until the end of the current season.

Other lawsuits

Alongside the main files, there are other lawsuits. Among these, LIV has initiated proceedings against Clout Public Affairs, splashing the PGA Tour in the process. To sum up the case, LIV alleges that his rival is behind the protests that took place at his tournament in Bedminster in July.

Protesters and families of victims of the September 11, 2001 attack were heard at the entrance to Donald Trump’s golf club, where a LIV event was being played. The Trump National Bedminster is located 70 km from the former twin towers of the World Trade Center. In the 2001 attacks, 15 of the 19 hijackers were Saudis.

The PGA is also suing LIV for misleading golfers in rights.

Attendance guaranteed to adults

The subject has caused much ink to flow. But LIV representatives will be accepted into all four Grand Slam tournaments this season. The Masters Tournament, PGA of America Championship, US Open and British Open, all independent entities have legislated in favor of LIV athlete attendance.

However, they must meet the eligibility criteria. For both omniums, those who don’t meet them must go through the qualifying process.

These four organizations are also splashed by allegations of attempted boycotts with the PGA in court.

A sequel to watch

The legal battles of the next few months promise to be interesting. What will be the strategy of the PIF and Al-Rumayyan in the dispute? They can decide to comply with the decisions of the judges, appeal the decision, try to reach an agreement or simply withdraw their case. If the appeal process is retained, the war will last several more years since the case could take up to three years before being heard.

It is not impossible that the Supreme Court of the United States will also be seized of the case as the subjects raised in the antitrust laws are very interesting if one of the parties is not satisfied with a decision.

The start date of the trial in the main cause is set for January 2024.