The NBA investigation into whether the Los Angeles Clippers circumvented the salary cap to compensate Kawhi Leonard could extend into 2027. According to ESPN, that scenario could unfold if the franchise, league and NBPA fail to agree on the findings and any proposed punishment.
The case primarily centers on the $28 million endorsement agreement Leonard signed with Aspiration in 2022. The now-bankrupt company also had a $300 million partnership with the Clippers. The players’ union could seek neutral arbitration if the NBA attempts to impose penalties without what it considers sufficient evidence.
The uncertainty has also placed Leonard’s agreed trade to Toronto on hold. The deal would send Brandon Ingram, Gradey Dick and several draft assets to Los Angeles. Salary-cap circumvention penalties can include fines of up to $7.5 million, lost draft picks, suspensions and the voiding of a player contract.
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