#4 Restraining order filed against him
BJ Penn's estranged partner, Shealen Uaiwa, filed a temporary restraining order against Penn back in October of 2018. She also made a petition for an order of protection in the Hawaii Family Court, where she brought forth allegations that Penn had abused her over their 10-year relationship. The order was extended in February earlier this year and is set to expire on the 8 October, 2021.
Although there have been alleged domestic abusers employed in the UFC previously and currently, this was just yet another final star on the camel's back and added to more strain than it should have been when it came to the company.
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#3 String of MMA losses
If there is one thing that any business can appreciate, it's a person who helps to draw more eyes to them.
Unfortunately for Penn, this is no longer the case. Although he is a UFC Hall of Famer and a legend for what he has achieved in his UFC career, he is not a draw. Even if you put aside the incidents surrounding him, he has not been able to win a single fight over the past 9 years.
His last win came in 2010.
Since returning to the UFC in 2017, he has been in four fights and he has lost them all. With his last fight against Clay Guida at UFC 237 on the 11 May 2019, he became the record-holder in the UFC for most fights lost by a fighter consecutively — 7.
At this point -- as unlucky as it may sound-- it appeared that he was well past his prime. Had he been winning fights, UFC might even have overlooked certain incidents.