PGA Tour, LIV Golf agree to drop anti-poaching provision in merger deal: report

The PGA Tour and LIV Golf agreed Thursday to drop a provision in the framework of their merger deal that would’ve prevented both leagues from recruiting players on each side. 

The New York Times reported that both entities decided to remove the clause from the framework of the deal after antitrust experts cited concerns that the provision could conflict with federal law.

Sources told the newspaper that both entities removed the provision in an effort to starve off the Justice Department (DOJ) from citing issues with the framework of the deal. 

The DOJ recently launched an investigation into the merger between the two golfing organizations, marking the second time the DOJ has launched an investigation into the PGA Tour. The department conducted an investigation in 2022 into the golfing league over allegations of possible anticompetitive behavior. 

In a statement to The Hill, a PGA Tour spokesperson confirmed of the removal of “specific language” from the deal, noting the decision came after discussions with the DOJ.

“The Framework Agreement sets the stage for an exciting future for professional golf that re-establishes competition at the highest levels of the sport and creates the biggest stage for everyone — players, sponsors, and fans,” the spokesperson said. “Based on discussions with staff at the Department of Justice, we chose to remove specific language from the Framework Agreement. While we believe the language is lawful, we also consider it unnecessary in the spirit of cooperation and because all parties are negotiating in good faith.”

The news comes days after two members of the tour’s leadership, Chief Operating Officer Ron Price and Policy Board member Jimmy Dunne, faced a myriad of questions from the Senate Homeland Security and Governmental Affairs Permanent Subcommittee on Investigations during a congressional hearing. The subcommittee is investigating the deal between the two entities. 

The PGA Tour announced in June that it had agreed to merge with LIV Golf to create one larger golf organization. 

The agreement will combine both golfing tours’ commercial businesses into one for-profit, yet-to-be-named entity. The DP World Tour, also known as the European PGA Tour, will also be part of the merger. 

LIV Golf, founded in 2021, is backed by the Saudi Arabia Public Investment Fund, an entity led by Saudi Crown Prince Mohammed bin Salman. LIV Golf has come under scrutiny for its Saudi backing, given Saudi Arabia’s controversial record of human rights abuses.