The proposed launch of LIV Golf 2.0 looks bleak.

During a U.S. Bankruptcy Court hearing in New Jersey on Wednesday, Jon Rahm’s lawyer, John Beck of Dentons U.S., LLP, said the two-time major champion will not participate in the league after he independently reviewed the terms of LIV Golf 2.0 and deemed them as “unacceptable,” according to Front Office Sports.

LIV 2.0 is the proposed scaled-back restructuring of the LIV Golf league after its funding by Saudi Arabia’s Public Investment Fund (PIF) ended at the conclusion of the 2026 season.

Rahm, 31, is reportedly owed more than $300 million on the multi-year contract he signed ahead of the 2024 season.

Rahm’s lawyer said the Spanish pro and LIV Golf are in advanced discussions for a consensual separation agreement.

Beck added that his client hopes to finalize that separation agreement on or before Oct. 15, to be heard at the Nov. 5 hearing.

“If the parties, for whatever reason, are unable to reach a consensual separation agreement, Mr. Rahm intends to press his objection to the rejection motion, which we have shared already in draft form with debtors counsel, and we will be back before your honor on November 5th to address the scope and applicable provisions of any order seeking to reject Mr. Rahm’s contract,” Beck said. “So, with that, Your Honor, unless you have any questions, I will seed the podium back to debtors.”

Rahm is eligible to return to the DP World Tour in Europe after paying fines and agreeing to play in at least five events.

His return to the PGA Tour is murkier after passing on the Returning Members Program that Brooks Koepka took, which is now closed.

Rahm’s lawyer did not elaborate on the LIV terms his client deemed unacceptable.

With LIV 2.0, the focus will be on trying to finalize a deal with investors for a 10-event league in 2027 with smaller purses and players taking on equity stakes, according to The Athletic.

LIV Golf filed for bankruptcy Sept. 8.

In August, LIV informed employees of massive layoffs, which included most of its U.S. and U.K. workforce, in an effort to scale back as the league looked for new investors.

BC Partners Credit announced an investment in LIV’s next iteration on Monday.

Mobii Systems Group Limited and Fresh Tape Media, two of LIV’s digital media vendors, filed lawsuits against the league for unpaid invoices, seeking more than $1 million each

Rahm won the 2021 U.S. Open and 2023 Masters.

He won LIV Golf’s Individual Championship in each of his first three seasons — and he pulled in more than $106 million in prize and bonus money at LIV, according to Spotrac.