Arbitrator rules Terry Rozier forfeits Heat salary, but contact with Heat again allowed
Published in Basketball
MIAMI — As Terry Rozier awaits trial on federal charges in relation to his alleged involvement in an NBA betting scheme, papers filed Wednesday show that the former Miami Heat guard will not be receiving the majority of his salary from this past season, but has regained the right to again interact with the Heat.
The paperwork, titled, “Defendant Terry Rozier’s Motion to Modify Conditions of Pretrial Release” was filed in the United States District Court for the Eastern District of New York.
In the filing was wording that a previous arbitration ruling had been reversed and that Rozier would forfeit most of his $26.6 million salary from this past season, having been on the Heat’s active roster for only one game in 2025-26.
The Heat spent the season working under the premise that Rozier’s salary on the final year of his contract would continue to count against the NBA salary cap, luxury tax and tax aprons, which had a limiting impact on salary that could be spent, as well as the size of the team’s roster.
The change in the court’s determination of payment does not impact the Heat after the fact because of the Heat’s place below the luxury tax at season’s end. However, with the forfeiture, other, higher-profile personnel transactions might have been possible.
The Heat finished in 10th place in the Eastern Conference, eliminated in the opening game of the play-in round. Rozier was waived April 10, two days before the close of the regular season, after the Heat did not utilize his salary at the February NBA trade deadline.
In Wednesday’s filing, it was noted:
“On February 2, 2026, an arbitrator determined that the NBA’s administrative suspension required the Heat to pay Mr. Rozier’s full base salary. Almost immediately, the NBA/Miami Heat decided against making full payments, which led to a second round of arbitration in early April. This time, the NBA’s position was that the no-contact provisions and travel limitations had rendered Mr. Rozier unable to comply with his contractual obligations.
“On May 20, 2026, the arbitrator ruled that, despite being placed on administrative leave by the NBA, Mr. Rozier’s conditions of release effectively rendered him in breach of his contractual obligation to play.”
Rozier was placed on NBA leave in October, arrested in Orlando after the Heat’s Oct. 22 season-opening game, a game he did not enter.
He was indicted in October on charges of conspiracy to commit wire fraud and money laundering, in what the FBI alleged was a plot to remove himself early from a game while with the Charlotte Hornets to achieve successful “under” bets based on his performance. That game came the season before he was acquired in January 2024 by the Heat.
Additional bribery charges were then filed last week against Rozier, regarding a $100,000 agreement to work with bettors.
Rozier, 32, has pleaded not guilty.
Until last week, Rozier had not been allowed to have contact with the Heat. While that restriction was lifted, such contact is not believed to have taken place.
The filing dated Wednesday read, “On May 29, 2026, the Government advised undersigned counsel that it would remove the Miami Heat from the no-contact list, but on June 2, 2026, the Government indicated it would not remove the Charlotte Hornets from the no-contact list.”
In not being allowed contact with even one of the NBA’s 30 teams, Rozier’s attorney argued that his client then could not seek a return to NBA employment. Rozier currently is a free agent.
Because the Heat at the time of their trade for Rozier were not made aware of the NBA investigation, they were awarded a second-round pick from the Hornets by Commissioner Adam Silver, a pick that will come at No. 41 on June 24. The Heat still owe Charlotte a first-round pick in either 2027 or ’28 as compensation for Rozier.
In Wednesday’s filing, Rozier’s attorney James M. Trusty wrote, “With the NBA’s free agency process officially beginning June 30, maintaining the Hornets on the no-contact list would likely prevent him from having any opportunity to play in the NBA. Under the current ruling of the arbitrator, an inability to play for or against the Charlotte Hornets would constitute a ‘failure to perform services’ by Mr. Rozier and substantially diminish or eliminate any chance of being contracted by an NBA team.”
The next court date for Rozier, who was released on $6 million bail secured by his South Florida home, is June 10 in Brooklyn.
©2026 South Florida Sun-Sentinel. Visit sun-sentinel.com. Distributed by Tribune Content Agency, LLC.







Comments