The Clippers are expected to waive their exclusive rights to negotiate with point guard Jason Williams on Friday.
The move will allow Williams to pursue a comeback to the NBA this season after not playing in the league in 2008-09.
Williams will become a free agent in seven days as he waits to clear waivers.
Sources claim that the Clippers had a deadline of Thursday from the league office to exercise their exclusive right to re-sign Williams, who signed a one-year deal with the club last August.
He opted in September to place himself on the league's voluntarily retired list.