In an agreement similar to that signed by eight other LIV golfers in February, the Spaniard will pay all outstanding fines for playing in events which conflicted with European Tour events.
Rahm has been sanctioned for three conflicting tournaments this season, in addition to around £2million ($A3.8m) in fines outstanding since he joined the Saudi breakaway in 2023.
In exchange for securing conditional releases for LIV events in 2026 Rahm has also agreed to play in agreed European Tour tournaments in the remainder of this year.
The deal, which was confirmed by a tour spokesperson, comes as LIV fights for survival with the Saudi backers cutting their support and new investors being sought.
Rahm had been adamant that he was not going to pay the fines, and two months ago accused the Tour of "extorting" players.
"There is no longer a standoff. We were able to reach an agreement. There were some concessions on both sides, and I offered some, they extended an olive branch," Rahm said on Tuesday. "So that will not be a stress anymore."
What has not been made clear is how many non-major tour events Rahm has agreed to play. The European Tour had been insisting on a minimum of six for LIV golfers, Rahm wanted four.
Rahm said he plans to play European tour events this autumn, including the Spanish Open, unless family considerations get in the way. He and wife Kelley are expecting their fourth child.
The two-time major champion has played only six European tour events since joining LIV in late 2023.
Rahm took questions at LIV Golf Virginia and said of his LIV future, "As of right now I have several years on my contract left, and I'm pretty sure they did a pretty good job when they drafted that, so I don't see many ways out."
He added of the Saudi withdrawal, "It was a surprise for everyone. We didn't expect it, after the support that His Excellency (Saudi Arabia's Public Investment Fund governor Yasir Al-Rumayyan) has given us."
Rahm acknowledged that players might have to accept less money to keep the league going.
LIV CEO Scott O'Neil also spoke to media. Asked whether PIF had committed to honouring contracts beyond 2026, he said, "I don't even know how to think about answering."
with AP
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