Team Impulse has been banned from the NA LCS and all Riot-sanctioned leagues, Riot Games announced Sunday.
In a competitive ruling, Riot stated that Team Impulse's management failed to pay players on time and provide them with contracts. Riot discovered the issue in March during a League-wide contract audit that found that TiP failed to issue contracts to the team's roster during the 2015 NA LCS Summer Split and the 2016 NA LCS Spring Split.
Riot also found that TiP management failed to pay their players on time, though as the players were not given contracts, Riot stated that they cannot determine wether or not the players' claims that they were not paid more than their minimum required compensation are true or not.
"We verified that all players have received their minimum player compensation, but since there is no written contract between both parties, we have no objective way to determine who is correct about the additional money owed," Riot stated in the ruling.
"That said, this situation is entirely the result of TIP management failing to have written contracts with their players, which is in part why they are not being permitted to continue in the League."
As a result of the ruling, TiP management will be forced to sell their spot in the NA LCS by May 18, and will be fined $20,000. Riot did not explain what will happen if TiP fails to find a buyer by the end of the grace period.
"While we’re not able to fully discuss them to avoid disrupting a potential sale, we will have follow up steps should a new owner not be found (and deal agreed upon) within the timeframe," Riot stated in the ruling. "Our primary concern is to hopefully facilitate a smooth sale process that protects existing players as much as possible, and we will be transparent about further steps in the event that either team fails to sell."
TiP placed eighth in the Spring Split with a 5-13 record. They defeated Apex Gaming to re-qualify for the upcoming Spring Split.
Riot also banned both Renegades and Team Dragon Knights on Sunday, for violating a previous ban involving former Renegades owner Chris Badawi.
Daniel Rosen is a news editor for theScore esports. You can follow him on Twitter.