Major Development Holds Up Kawhi Leonard Trade to Raptors

While the city of Toronto and all Raptors fans were looking forward to the return of Kawhi Leonard following the trade with the Los Angeles Clippers, it appears we all have to throw on the brakes for the time being. The trade will not be complete until the NBA concludes its investigation into the cap-circumvention scandal involving the Clippers and Leonard. 

Just in on NBA Today -- league's ongoing investigation puts a pause on Clippers-Raptors Kawhi Leonard trade: pic.twitter.com/phgcaiCTNj

— Shams Charania (@ShamsCharania) July 9, 2026

Both teams have issued statements outlining that the league has warned the Raptors that if they are to complete the trade, they would be responsible for whatever penalties Leonard must face based on the results of the investigation. So everything is on hold right now. 

A statement from the Raptors is as follows:

Raptors statement on the Kawhi Leonard trade pic.twitter.com/nZ6dnOU5fU

— Mark Medina (@MarkG_Medina) July 9, 2026

“Regarding our planned trade with the LA Clippers for Kawhi Leonard, the NBA league office informed us that as a result of the ongoing investigation involving the Clippers we would assume the risk of any potential outcome of the investigation impacting Kawhi,” the Raptors said in a release. “In light of this, we will wait until the league’s investigation is complete. The Raptors remain eager to bring Kawhi back to Toronto and look forward to a swift resolution for our players, our organization, and our fans.”

The Raptors traded Brandon Ingram and Gradey Dick, along with first-round pick swaps in the future, in exchange for Kawhi, bringing their 2019 NBA Finals MVP back to Toronto. But that is now on hold for the time being. 

The NBA began this investigation into the scandal as much as six to eight months ago, so it's a fair question to ask why it has not concluded yet.  

Leonard has one year remaining on his current contract for the coming season at $50M. The 36-year-old was expected to agree to a two-year extension with the Raptors that could pay him up to $126 million.

One of the potential penalties the NBA could levy, if they find that the Clippers & Kawhi violated league rules, was said to be a voiding of the final year of Leonard's current contract.