Steve Ballmer banned from NBA functions for a year. What does that mean for a team owner?


Steve Ballmer sat there only the one time.

Part of Ballmer’s $2 billion Intuit Dome is a section — you know this — called “The Wall,” which is supposed to be an intimidating optical illusion for opponents looking up behind one of the baskets during free throws. What they think they see is a wall of rowdy LA Clippers fans cascading toward the rafters vertically, instead of gradual, diagonal ascension the way most stadiums are built.

On Oct. 23, 2024, opening night for the Clippers at Ballmer’s building, the NBA’s richest owner — one of the richest men in the world — sat among the proletariat of The Wall. In the two full seasons since, he has frequented the section before games to say hello and give an occasional pep talk.

That won’t be happening this season in any way, shape or form.

On Tuesday, the NBA announced Ballmer, Clippers owner since 2014, was banned from all league functions for one year over his alleged role in a widespread scheme to circumvent the league’s salary cap for Kawhi Leonard. A law firm hired by the NBA to investigate found Ballmer “knowingly (sought) to help Mr. Leonard obtain off-court income opportunities, (approved) a business deal that he knew was a precondition for (environmental firm and former team sponsor) Aspiration to enter into an endorsement agreement with Mr. Leonard,” and failed “to create conditions under which his organization abided by the NBA’s circumvention rules.”

The Clippers released a statement maintaining the team’s and Ballmer’s innocence, a stance the organization has held for one year since it was first accused of cap circumvention for Leonard, and said in the statement that “(we) intend to vigorously challenge these findings and penalties through every avenue available to us and look forward to an ethical and impartial arbitration process.”

There is a problem with the team’s statement, technically. As far as the NBA is concerned, the verdict is final. There is no arbitration process for the suspension of an owner or for findings of cap circumvention. That means Ballmer, his chief deputies and Leonard (through his uncle and former business manager, Dennis Robertson) are guilty as charged by commissioner Adam Silver, and the numerous bans handed down shall stand. Sources with knowledge of the standoff between the NBA and Clippers, who spoke on condition of anonymity to speak freely about deliberations inside league and team front offices, expect the team to seek legal action against the league.

If and until that happens, Ballmer stands as the third NBA owner in the modern era to receive a yearlong suspension. Glen Taylor, then-owner of the Minnesota Timberwolves, was suspended in December 2000 for salary-cap circumvention; in September 2022, then-Phoenix Suns owner Robert Sarver was suspended for racist and misogynistic behavior in the office.

What does it mean, practically, for a team owner to be suspended? According to sources with direct knowledge of league rules, who spoke anonymously to speak freely about deliberations inside league and team front offices, and based on what happened in Taylor’s suspension, there is to be no attendance at games or practices — for their or any of the other 29 NBA teams. No appearances at the NBA All-Star Game or Emirates Cup, finals, draft or combine. In February, the Clippers hosted the NBA All-Star Game at Intuit Dome. The league’s investigation into cap circumvention was ongoing, but Ballmer was everywhere, including on stage for Silver’s annual technology summit. He would have had to rent out the Hollywood Bowl or throw a street party on Sepulveda Boulevard to get even a taste of the All-Star experience had this verdict been handed down before that weekend.

Suspended owners can’t go into team offices or influence personnel or business decisions. If the Toronto Raptors want to change their pending trade for Leonard, Clippers basketball executives aren’t allowed to ask Ballmer whether he approves. Clippers president of basketball operations Lawrence Frank is also suspended as part of the alleged cap-circumvention scheme — his suspension is for six months, so Ballmer, or perhaps the person he appoints as interim governor, will have to promote an interim replacement for Frank.

Ballmer can’t talk to the media about the Clippers on the court but can go on TV to defend himself against cap allegations, which he has done periodically for the past year.

He must choose an interim governor who sits on the NBA’s board to make decisions on league business. Dennis J. Wong, who owns 1 percent of the team, is an alternate governor; so is president of business operations Jillian Zucker — but she was also suspended Tuesday over her role in the alleged scheme.

Ballmer may continue to earn revenue from the Clippers, and, if he wants, he could put the team up for sale during his suspension. Sarver announced he was selling the Suns just eight days into his suspension.

Taylor negotiated a settlement with the NBA for a nine-month suspension, returning to his duties in September 2001. He held on to the team for two decades before selling last year.

There is no indication Ballmer has any plans to sell. There is every indication he plans to fight his suspension.

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