Kawhi Leonard is set to remain with the Toronto Raptors after agreeing to a two-year, $115 million contract extension, according to ESPN and the Associated Press. The agreement comes only days after Toronto completed its complicated trade for Leonard from the Los Angeles Clippers following an NBA investigation into alleged salary-cap circumvention.
The deal includes a player option for the 2028-29 season, meaning Leonard can decide whether to play the second year. He is entering the final season of his existing contract, which will pay him more than $50 million during the 2026-27 campaign.
The extension gives Leonard a long-term commitment with the franchise where he won his first championship with Toronto in 2019.
Kawhi Leonard’s Toronto Return Comes After NBA Investigation
Leonard’s return to Toronto has been one of the most complicated stories of the NBA offseason. The Raptors and Clippers initially agreed to a trade in June, but Toronto temporarily placed the deal on hold while the NBA investigated whether Los Angeles had violated salary-cap rules through outside endorsement arrangements involving Leonard.
The NBA announced its findings on September 2, determining that the Clippers had violated salary-cap circumvention rules through multiple arrangements involving Leonard and companies connected to the organization. Leonard received a $700,000 fine, but the league did not suspend him or void his contract.
The Clippers received considerably harsher penalties. The franchise was fined $30 million and stripped of five first-round picks, while owner Steve Ballmer and executives also received suspensions.
The NBA investigation was ultimately completed, allowing the Leonard trade to Toronto to become official on September 14.
Toronto gave up Brandon Ingram, Gradey Dick, two unprotected first-round picks, two second-round picks and a future first-round pick swap to bring Leonard back to the franchise.
The Raptors are now committing significant money to the veteran after he produced the highest-scoring season of his career. Leonard averaged 27.9 points, 6.4 rebounds, 3.6 assists and 1.9 steals across 65 games for the Clippers last season while shooting 50.5% from the field and 38.7% from three-point range.
His health remains the biggest question surrounding the investment. Leonard has dealt with significant injuries throughout his career, but his 65-game campaign represented only the second time since 2016-17 that he appeared in at least that many regular-season games.
Leonard previously spent one season with Toronto and helped deliver the franchise’s first NBA championship. Now, the Raptors are betting that the two-time champion and seven-time All-Star can lead another title push.
