14 May 2024 , 01:00
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Jimmy Dunne resigned from the PGA Tour's policy board on Monday effective immediately. The investment banker was one of the tour's main architects behind a secret deal with Saudi Arabia's Public Investment Fund (PIF) - but he cited a lack of "meaningful progress toward the transaction" in stepping away.
"When I arrived on the board in January 2023, everybody involved with the game was concerned about the fundamental threat of LIV Golf,” Dunne wrote in his resignation letter, which was obtained by Sports Illustrated. “As directed by Commissioner Monahan, I engaged LIV’s majority owner, the Public Investment Fund, to see if we could end the lawsuits and reunify the game."
He continued: "Importantly, we were able to come to an agreement in which the lawsuits were dismissed with prejudice and a path was created for the Tour to remain in control of professional golf. I believe that history will look favorably on this outcome and the very real opportunities now afforded the Tour.”
The PGA Tour's negotiations with the PIF began in response to the foundation of LIV Golf, a Saudi-backed rival golf league that managed to poach a number of the tour's top players, including Rory McIlroy and Bubba Watson.
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Backdoor negotiations began in the summer of 2023 with the purpose of "to unify the game of golf, on a global basis," but players responded with ire after learning of these discussions. This agreement also saw the two entities agree to dismiss an antitrust lawsuit and countersuit filed more than 10 months earlier after more than $50 million in combined legal fees
A board seat was created for Tiger Woods after this outrage and Jordan Spieth was added to replace McIlroy, who resigned in November. Dunne contends that his vote is superfluous since “players now outnumber the Independent Directors on the board.”
Speculation arose that Dunne also resigned after McIlroy was barred from rejoining the policy board. Webb Simpson attempted to resign and offer his position to the Northern Irish golfer, but the move was blocked, prompting McIlroy to say, "There was a subset of people on the board that were maybe uncomfortable with me coming back on for some reason.”
PGA Tour board member Jimmy Dunne testified before the U.S. government about the PGA Tour-LIV Golf partnership (AP)The deal was initially supposed to expire this past December, a clause that was ultimately struck from the contract, and negotiations have reached a molasses pace between the two parties.
Player directors did not meet with Yasir Al-Rumayyan, governor of the PIF, who pledged to invest more than a $1 billion into PGA Tour Enterprises, and Woods said in April that "I don’t know if we’re closer [to a deal]."
Players also remain split on the issue, with McIlroy pushing for a deal while Spieth questioned the necessity of one. Additionally, while the 2023 framework prevented LIV Golf from poaching players off the PGA Tour, discussions slowed to an extent that Al-Rumayyan opted to lure the defending Masters winner Jon Rahm to join the Saudi league.