Executive Summary
- Terry Rozier was arrested by the FBI for an alleged role in a gambling scandal and placed on NBA administrative leave.
- The Miami Heat are awaiting NBA clarification on whether Rozier’s $26.6 million expiring contract can be traded.
- Reporting indicates the league has not yet determined if the salary is frozen due to the ongoing legal proceedings.
- The roster uncertainty complicates Miami’s depth issues, with key players Tyler Herro and Andrew Wiggins currently injured.
Miami Heat guard Terry Rozier has been placed on administrative leave by the National Basketball Association following his arrest by the Federal Bureau of Investigation in connection with an alleged gambling scandal. The arrest, which occurred just one week into the 2025-26 regular season, has created significant logistical and financial uncertainty for the Miami franchise regarding the player’s $26.6 million expiring contract.
The NBA acted immediately to remove Rozier from active duty while the investigation proceeds. The charges stem from an alleged role in a gambling scheme, though the specific details of the indictment have not been fully disclosed by authorities. Rozier is currently in the final year of a four-year, $96.3 million extension originally signed with the Charlotte Hornets in 2022. Under normal circumstances, an expiring contract of this size is considered a valuable trade asset for teams looking to clear salary cap space or acquire draft compensation.
According to reporting by the South Florida Sun Sentinel, the NBA has not yet clarified whether the Heat are legally permitted to include Rozier’s salary in trade negotiations while he remains on administrative leave. This lack of regulatory clarity presents a dilemma for the front office; if the league prohibits moving the contract, Miami risks losing the asset entirely when it expires in 2026 without receiving any return on investment.
The potential inability to utilize this roster spot exacerbates existing depth issues for the Heat. Head Coach Erik Spoelstra is currently managing a rotation depleted by injuries, with guard Tyler Herro sidelined following ankle surgery and forwards Andrew Wiggins and Nikola Jović missing recent games due to hip injuries. The franchise is reportedly seeking to leverage Rozier’s salary slot to acquire healthy role players or draft capital to mitigate these absences.
Regulatory and Operational Implications
The NBA’s forthcoming decision on the tradability of a player under federal investigation will establish a significant precedent for roster management during legal crises. A ruling blocking the trade would imply that administrative leave freezes a player’s status as a transactional asset, effectively penalizing the franchise for off-court conduct beyond its control. Conversely, permitting the trade would reinforce the separation between a player’s contractual value and their legal standing. It is important to note that Terry Rozier is presumed innocent until proven guilty in a court of law.