A contract fight quietly flipped in the favor of Terry Rozier this week, even as his name stays attached to one of the NBA’s most serious legal storms.
On Monday, February 2, an independent arbitrator ruled that the league must release the salary it had been withholding from the Miami Heat guard, according to ESPN. The decision clears the way for Rozier to receive his 2025–26 compensation, valued at roughly $26.6 million, which had been sitting in escrow since late last year.
The NBA froze those payments following Rozier’s arrest and indictment in the ongoing sports gambling case tied to league insiders. However, the arbitrator’s ruling leaned heavily on the Collective Bargaining Agreement. Under its terms, unpaid leave is limited to cases involving domestic or child abuse. Because Rozier’s charges do not fall into those categories, the league lacked authority to block his pay.
Rozier’s attorney, Jim Trusty, said the outcome reinforced a basic standard.
“Terry won today under principles of contract law and the Collective Bargaining Agreement between the league and the players, but the bigger principle at issue is the presumption of innocence,” Trusty said in a statement. “Today’s arbitration ruling reminds the NBA that they can’t ignore that important concept just because it’s a high-profile case.”
The National Basketball Players Association echoed that position, stating it remains focused on “ensuring Terry’s due process rights are protected and that he is afforded the presumption of innocence throughout this process.”
Rozier has pleaded not guilty to conspiracy, wire fraud, and money laundering charges. His legal team has also moved to dismiss the case, arguing that prosecutors are overreaching. He is still on Miami’s roster but has not appeared in a game this season.
The arbitration win only addresses pay. The larger case continues.
Federal prosecutors allege that defendants across a 31-person indictment misused non-public basketball information to influence wagers. The investigation merges two gambling probes and includes multiple league figures, including Portland Trail Blazers head coach Chauncey Billups and former player Damon Jones.
In Rozier’s situation, authorities claim he alerted an associate before a March 2023 game, while with the Charlotte Hornets, that he would exit early. Prosecutors say that the tip led to more than $200,000 in bets on the under for his stat line. Rozier has denied any wrongdoing.
For now, he secured his paycheck. The rest remains unresolved.
