Under the rules the NBA established for its season restart in Orlando, players who were healthy but opted not to play would have to forgo their remaining salary for the season. Two weeks ago, in an interview with The Athletic, Oladipo said he was healthy but had decided not to play to ensure recovery from his quad tendon tear in January 2019.
In the days since, lawyers from the players' union and the NBA have reviewed the situation, and there is dispute regarding Oladipo's situation. The union believes Oladipo, who went to Orlando with the Pacers and then cleared quarantine so he could practice, should be paid his remaining salary, sources said.
The league, largely in an effort to set a precedent in case other players who are deemed healthy want to leave Orlando and no longer play, believes Oladipo has opted out and should not be paid, sources said. His public comments about feeling healthy has only solidified the league's position on the matter, sources said.
The Pacers support Oladipo's decision and are willing to pay his salary whether or not he plays, sources said.
Meanwhile, amid the ongoing debate, Oladipo has been impressive in practices and has now indicated to the team that he might reconsider his decision, sources said.
"We are not approaching it as if he's not playing," Pacers coach Nate McMillan said earlier this week. "We are putting him out there. There are no restrictions for Vic. He's been going hard."
After missing 12 months recovering from the injury, Oladipo returned to play 13 games before the season was halted. He struggled at first to regain his form, shooting just 29% and averaging 10.8 points as the Pacers went 1-5 in his first six games back.
But he was showing signs of heating up. Over his last five games before the stoppage, he averaged 18.6 points on 47% shooting and the Pacers went 4-1 in those games.
Recovering from a quad tendon tear is often a long, grueling process, and Oladipo told The Athletic he was worried about a soft tissue injury following a four-month layoff, though he has been medically clearly to play by Pacers doctors and his personal doctors, sources said.
Oladipo has one year and $21 million remaining on his contract after this season. He is eligible to sign a contract extension with the Pacers after the season. In the event he gets traded, he could extend his contract as part of a deal.
ESPN's Eric Woodyard contributed to this report.