Report: NBA approved Clippers' $300M deal with Aspiration in 2021
The NBA authorized the 23-year, $300-million sponsorship deal that the Los Angeles Clippers signed with Aspiration in 2021, sources told ESPN's Bobby Marks and Baxter Holmes.
The agreement required the league's explicit approval because it would have included a patch on the Clippers' jerseys. NBA spokesperson Mike Bass told ESPN that the league must greenlight agreements involving jersey patches due to their "level of exposure" and to "avoid potential brand issues or conflicts with league partnerships."
It's unclear who specifically approved the Clippers' partnership with Aspiration. NBA commissioner Adam Silver said Sept. 16 that he had "never heard of the company before." However, he walked back those comments shortly thereafter, stating he had heard of the brand but was unfamiliar with the company "in the context of the allegations."
The Clippers announced their partnership with Aspiration in September 2021. The following April, the now-defunct company reportedly signed Clippers star Kawhi Leonard to a separate $28-million marketing deal. However, that agreement was never publicly announced. It also contained language that allowed the two-time Finals MVP to opt out of any obligations at his discretion, according to documents obtained by journalist Pablo Torre.
Leonard's "no-show" contract with Aspiration did not require league approval. However, the NBA is now investigating whether the team used that deal to circumvent the salary cap. The Clippers organization, owner Steve Ballmer, and co-owner Dennis Wong all sent payments to the company on separate occasions, according to documents obtained by Torre. Ballmer himself invested $50 million in Aspiration in September 2021. The team also sent Aspiration $32.4 million on April 4, 2022, the same day Leonard signed his "no-show" deal.
Despite the NBA ratifying the sponsorship agreement, Aspiration patches never made it onto Clippers jerseys. The patches were supposed to be introduced for the 2023-24 season. However, in January 2024, as reports indicated the fintech was under federal investigation for potentially misleading customers about its carbon credits, the Clippers said they had terminated their partnership with Aspiration the season prior.
Aspiration declared bankruptcy in March. Co-founder Joseph Sanberg agreed in August to plead guilty to defrauding investors of $248 million.