The most significant outcome of the NBA’s investigation into Kawhi Leonard might not be the punishment itself, but rather the guidelines that the league establishes moving forward.
After nearly a year of scrutinizing whether the Clippers might have circumvented the salary cap through Leonard’s endorsements with team sponsors, the inquiry seems to be shifting focus away from the more severe allegations.
According to ESPN’s Ramona Shelburne, conversations between the league and Steve Ballmer’s legal team are now more centered on a potential “failure to supervise” rather than any direct conspiracy that involved Ballmer diverting funds to Leonard.
Shelburne referred to the actual cap circumvention as the inquiry’s “murder charge” – the most serious claim, yet the most difficult to substantiate.
The NBA has warned that the investigation is still ongoing and criticized ESPN’s earlier reports for having “numerous and significant inaccuracies.” Both Ballmer and Leonard, along with the Clippers, have denied any wrongdoing regarding the salary cap.
This ambiguity is important, as is the direction of the ongoing discussions.
If the league concludes that an owner can introduce a player to business partners, reap benefits from such setups, and escape severe consequences unless direct orders or payments can be pinpointed, it may set a troubling precedent.
Future teams might not require under-the-table contracts; a little distance could suffice.
An owner could facilitate a connection between a star player and a sponsor, let intermediaries work out the details, and later deny having any knowledge of the transactions. This kind of plausible deniability could become a strategic play for assembling rosters.
This scenario could seriously undermine the purpose of the salary cap. When wealthy owners exploit their business connections to arrange compensations that teams with fewer resources or connections cannot compete with, achieving competitive balance becomes nearly impossible.
The scrutiny from the investigation has already expanded beyond Leonard’s relationship with Aspiration, now encompassing another deal linked to Clippers’ partner Daktronics.
Draymond Green pointed out the risks of weak enforcement, highlighting the incentives it creates.
If the punishments are not sufficiently severe, Green remarked, “everybody should do it,” referencing the Leonard situation.
The NBA’s collective bargaining agreement allows for penalties like fines, loss of draft picks, contract voidance, and suspensions for those found to be circumventing rules. Yet those deterrents may not carry much weight if the standard of proof essentially requires a billionaire owner to leave behind explicit written directions for any alleged wrongdoing.
However, it’s crucial to emphasize that the NBA shouldn’t impose penalties on Ballmer without solid evidence. The term “failure to supervise” shouldn’t serve as an easy escape for owners who benefit from arrangements but claim to be unaware of them.
If the league cannot substantiate the so-called murder charge, it must still set clear disclosure standards regarding sponsor connections, owner investments, and endorsement deals, implementing real consequences for any violations of those standards.
If not, the message won’t be that circumvention is prohibited; it will instead suggest that it’s allowable as long as it’s done discreetly.


