NBA free agent Terry Rozier has been ordered to forfeit most of his $26.6 million salary for the 2025-26 season after an arbitrator ruled that he violated the terms of his contract with the Miami Heat amid an ongoing federal sports gambling investigation.
The ruling, issued in late May, determined that Rozier breached his contractual obligations to the Heat because the conditions attached to his pretrial release prevented him from fulfilling his responsibilities as a professional player. Rozier has pleaded not guilty to all allegations connected to the case.
According to court documents, Rozier’s release conditions prohibit him from contacting players, coaches, medical personnel, and other staff members associated with both the Miami Heat and the Charlotte Hornets. He is also subject to travel restrictions while the criminal proceedings continue.
The latest decision follows an earlier arbitration ruling that required the Heat to pay Rozier his full salary after it was determined that the NBA could not place him on unpaid leave following his indictment. However, Rozier’s attorney, Jim Trusty, stated that the team subsequently stopped making salary payments, triggering a second arbitration process that ultimately resulted in the new ruling.
Trusty has now asked the court to modify Rozier’s release conditions by removing the Charlotte Hornets from his no-contact list. He argues that maintaining the restriction could severely damage Rozier’s ability to secure employment during NBA free agency, as teams may be unwilling to sign a player who cannot participate in games involving the Hornets.
In legal filings, Trusty warned that the arbitrator’s ruling effectively means any inability to play for or against Charlotte could be considered a failure to perform contractual services, potentially eliminating future opportunities for Rozier within the league.
The criminal case against Rozier continues to expand. Federal prosecutors originally charged him in October with conspiracy to commit wire fraud and conspiracy to commit money laundering. Last week, prosecutors filed additional charges, including sports bribery and honest services wire fraud conspiracy.
According to the superseding indictment, prosecutors allege that Rozier accepted a $100,000 bribe in exchange for providing bettors with advance information about his intention to leave a March 2023 game early because of an injury while playing for the Charlotte Hornets.
Rozier has denied all allegations. His attorney confirmed that he is scheduled to be arraigned on the new charges next week and will enter a not guilty plea.
The case has become one of the most significant gambling-related investigations involving an active NBA player in recent years, raising broader questions about sports integrity, athlete conduct, and league oversight as legal proceedings continue.
