Photo: Peter Baba

Terry Rozier has been ordered to forfeit most of his $26.6 million salary for the 2025-26 season after an arbitrator determined that he violated the terms of his contract with the Miami Heat.

The ruling stems from Rozier’s ongoing legal case following his arrest last October in connection with an alleged illegal gambling scheme.

Although Rozier has pleaded not guilty to all charges, the arbitrator concluded that the restrictions attached to his pretrial release prevented him from fulfilling certain contractual obligations.

Among those restrictions were bans on contacting personnel from the Heat and Hornets, as well as limitations on travel.

Rozier’s attorney, Jim Trusty, is now seeking modifications to those conditions, arguing they could significantly impact his ability to continue his NBA career.

“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.

The veteran guard is also scheduled to face arraignment on additional charges next week, including sports bribery and honest services wire fraud conspiracy.

Trusty has stated that Rozier intends to plead not guilty, as he has done throughout the legal process.

The case continues to create uncertainty around Rozier’s future in the NBA as free agency approaches.

Terry Rozier must forfeit most of $26 million NBA salary as gambling investigation continues https://t.co/mD9rz2wpBe pic.twitter.com/45iix6wMft