NBA Could Drop Hammer On Kawhi Leonard And Clippers If Found Guilty On Salary Circumvention

The Los Angeles Clippers’ season hasn’t even started, yet the franchise already finds itself at the center of one of the NBA’s most explosive investigations in years. The league is digging into allegations that the Clippers engaged in salary cap circumvention by funneling money to Kawhi Leonard through a now-bankrupt company, Aspiration. 

If commissioner Adam Silver and an arbitrator determine the Clippers are guilty, the punishments could be historic.

John Hollinger of The Athletic detailed the “menu” of penalties outlined in Article XIII of the NBA Constitution, which Silver can draw from if he decides to drop the hammer. 

The potential consequences for Leonard include voiding his contract and prohibiting him from re-signing with the Clippers, forcing him to return money he received from Aspiration, and fining him up to $350,000. 

For the Clippers and their leadership, the penalties could be even steeper: a fine of up to $7.5 million, forfeiture of multiple draft picks, and suspensions of team owner Steve Ballmer or other executives for up to one year, alongside fines of up to $1 million per person.

On the surface, some of these punishments might not sting much. Ballmer is one of the richest owners in sports, and a $7.5 million fine is little more than pocket change. Even suspensions can be endured. But the true danger lies in draft pick forfeiture and the nuclear option of voiding Leonard’s contract.

The precedent is there. In 1999, the Minnesota Timberwolves lost five first-round picks after secretly agreeing to an illegal contract with Joe Smith, a circumvention case that most observers believe was far less scandalous than what the Clippers now face. 

If Silver follows that roadmap, the Clippers could lose every first-round pick they still control, including their own selections in 2030, 2031, and 2032, along with multiple second-rounders. For a franchise already short on draft assets, such a penalty could cripple their future.

Voiding Leonard’s contract, however, creates a mess far beyond Los Angeles. Leonard is owed $50 million next season, and his deal runs deep into the decade. If it were suddenly wiped out midseason, Leonard could hit the open market as an unrestricted free agent while teams have no cap space. 

Imagine him signing with a contender like the Lakers for the veteran minimum, it would throw competitive balance into chaos and leave 28 other owners furious. Even if the NBA tried to suspend him for the rest of the season, it would trigger an ugly fight with the players’ union.

That’s why many expect Silver, if he pursues voiding the deal, to wait until after the season ends, giving teams an orderly summer market to pursue Leonard. Another option floated by Hollinger is placing the Aspiration money directly onto the Clippers’ books as a cap charge, ensuring they don’t benefit from the alleged circumvention.

Still, the symbolism matters. Owners across the league are reportedly demanding severe punishment if the Clippers are found guilty, especially since the case strikes at the heart of the NBA’s salary cap system. This isn’t just early free agency tampering or backroom handshake deals; if proven, it’s a direct attempt to buy championships by circumventing the rules.

For now, the investigation continues. But if Silver does decide to wield his “very broad powers,” the Clippers and Leonard could face consequences that reshape both their futures and the league’s competitive landscape.