Request to unseal PGA x LIV documents partially denied by judge amid Saudi Investment Fund litigation

The LIV Golf vs. PGA Tour case is far from over, despite the fact that both entities withdrew their respective claims and counterclaims. On Friday, a judge denied a request related to the case but did not completely close its doors.

Judge Beth Labson Freeman of the Northern District of California issued on Tuesday a partial denial of a request by The New York Times to unseal documents related to the LIV Golf vs. PGA Tour case.

According to Freeman's reasoning, the Times failed to present arguments that unequivocally support the need to declassify the documents in favor of public information rights.

This is how Freeman explained it in her ruling:

“[The New York Times] has not presented argument under the experience and logic test as to the historical right of the public to discovery documents, and the ‘significant positive role’ in the functioning of litigation played by public access to discovery documents. Given the plethora of case law describing the public’s reduced right of access to discovery documents, the Court is doubtful that NYT could make the required showing.”

However, Judge Freeman did not rule out the possibility that there could be a turn of events. So much so that she alerted LIV Golf that it must present arguments as to the "substantial interest" in keeping the documents under seal.

This is what she said:

“As the party seeking to maintain records under seal, LIV Golf bears the burden of articulating compelling reasons for and a substantial interest in maintaining under seal PGA Tour’s motion for leave to amend its counterclaim and the related attachments.”

The circuit backed by Saudi Arabia's Public Investment Fund (PIF) has two weeks to respond to Judge Freeman's demands.

Ups and downs of PGA Tour, LIV Golf and PIF

PIF has been leading Saudi Arabia's interest in financially entering the world of sports for some time now. In 2021, they acquired English Premier League club Newcastle United. Shortly thereafter, they announced their interest in expanding into the world of golf.

In 2022, PIF announced the creation of the LIV Golf league, attracting with juicy contracts 48 players from the PGA Tour and DP World Tour, including several stars such as Phil Mickelson, Dustin Johnson and Brooks Koepka.

The PGA Tour responded with disciplinary action against these players, to which LIV Golf responded with an anti-trust lawsuit in U.S. courts. This was not the only legal process that was set in motion in this context.

The tension escalated quite a bit, as the legal proceedings were accompanied by mutual accusations and belligerent statements.

However, things took an unexpected turn when the PIF and the PGA Tour announced a framework agreement to work together, also involving the DP World Tour. The agreement includes PIF's financial backing of that circuit, the creation of an entity to regulate world golf and other issues. It included the completion of all open legal proceedings.

However, this relationship has faced problems practically since it was announced. On the one hand, the rejection by a part of the golf community due to the questions of respect for human rights faced by Saudi Arabia.

On the other hand, the U.S. Senate Subcommittee on Investigations opened an investigation into the agreement, citing the aforementioned allegations of human rights violations by the Saudi government.