Arbitrator Rules Terry Rozier Breached Miami Heat Contract Amid Gambling Investigation
NBA free agent Terry Rozier is facing a major financial hit after an arbitrator ruled he must forfeit most of his $26.6 million salary for the 2025-26 season.
The ruling stems from Rozier’s federal sports gambling case, where prosecutors have accused the former Miami Heat and Charlotte Hornets guard of playing a role in a broader betting scheme. Rozier has pleaded not guilty.
According to details included in a court filing this week, the arbitrator found in late May that Rozier violated his contractual obligations to the Heat because the conditions of his pretrial release made it difficult, if not impossible, for him to perform as required under his NBA contract.
Rozier’s release conditions barred him from contacting members of the Miami Heat and Charlotte Hornets organizations, including players, coaches and medical staff. The court also imposed travel restrictions.
Those limits became central to the contract dispute. An earlier arbitration decision had found that Rozier should be paid his full salary after the league placed him on unpaid leave following his indictment. But after the Heat reportedly stopped making payments, the matter returned to arbitration. The later ruling favored the team and league.
Rozier’s attorney, Jim Trusty, is now asking the court to remove the Hornets from the no-contact list. Federal prosecutors have already removed Heat personnel from the restriction after the Heat released Rozier, but the Hornets remain covered by the order.
Related: Widening Scandal Engulfs NBA as Feds Target Illegal Sports Betting
Attorney Says Restrictions Could Hurt Rozier’s NBA Future
Trusty argued in the court filing that leaving the Hornets on the no-contact list could make it harder for Rozier to continue his NBA career, especially as free agency approaches.
“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,” Trusty wrote.
Rozier’s legal team has said he does not object to being barred from discussing the criminal case with Hornets personnel. The request is focused on allowing him to communicate in ways that could affect his ability to play.
Federal Charges Expanded In Gambling Investigation
Rozier was charged in October with conspiracy to commit wire fraud and conspiracy to commit money laundering. He pleaded not guilty.
Federal prosecutors later filed additional charges, including sports bribery and honest services wire fraud conspiracy. The superseding indictment alleges Rozier solicited and accepted a $100,000 bribe in exchange for tipping off bettors that he planned to leave a March 2023 game early because of an injury while playing for the Hornets.
Trusty said Rozier is expected to be arraigned on the new charges next week and plans to plead not guilty.
The NBA, Miami Heat and Charlotte Hornets did not immediately comment publicly on the latest arbitration details, according to reports.
