Jim Harbaugh is not letting the collapsed Daiyan Henley trade go quietly.
The Los Angeles Chargers coach said Thursday that the Denver Broncos used the physical as leverage to try to pay less for the linebacker, calling it a loophole the NFL should close.
What happened with the Henley trade?
Before the trade deadline, the Chargers agreed to send Henley to their division rival for a 2027 fourth round pick and a 2028 fifth round pick.
Denver announced the deal Tuesday as pending a physical. Late Wednesday, the Broncos said it would not be finalized.
Neither team gave an official reason. ESPN reported, citing sources, that Denver found an issue with one of Henley’s knees during his physical. Trades in the NFL are not final until players pass physicals with their new teams.
Why is Jim Harbaugh upset?
Harbaugh said the Broncos tied their medical decision to whether the Chargers would accept less in return. He said Denver would not pass Henley for a fourth and a fifth but would for a fourth and something lesser.
The Chargers refused. Harbaugh said a medical grade should be a simple pass or fail, not a bargaining tool, and warned that the practice sets a bad precedent.
Asked whether teams should be able to renegotiate after the deadline, Jim Harbaugh said they should not, but apparently they can.
Jim Harbaugh also questioned how Henley could be healthy enough to play for Los Angeles but not for Denver.
What did Joe Hortiz say?
General manager Joe Hortiz said he fully agrees with Jim Harbaugh and that other general managers called him about the situation Thursday.
He said the Broncos asked to amend the deal after the physical, even though they still wanted the player. He said he told Denver about Henley’s health issues before the agreement and that the linebacker was expected to practice and play.
Hortiz declined to confirm whether a knee issue was the problem. He said he has been in touch with the league and would not be surprised to see teams propose closing the loophole at the annual meeting in March. Any rule change would need approval from team owners.
Has Henley been injured this season?
Henley has appeared on the Chargers’ injury report twice. In Week 6, he was listed with a knee issue but started against the Kansas City Chiefs, playing 51 snaps and making four tackles.
Last week, he was listed with a shoulder issue but started in Sunday’s 44-22 loss to the Houston Texans, playing 57 snaps with 10 tackles and an interception.
A third round pick in 2023, Henley has started all eight games this season and leads the winless Chargers with 51 tackles. He also has two fumble recoveries and a forced fumble.
He is in the final year of a four year, $5.4 million rookie contract. That means he could hit free agency after the season.
What happens next for Jim Harbaugh and Henley?
Henley is back with Los Angeles and is expected to play Monday night against the Baltimore Ravens. Jim Harbaugh said he was unsure whether the linebacker would practice Thursday.
Hortiz said he apologized to Henley for the situation and feels for him. He said the team loves the linebacker, which is why it wanted strong compensation to consider moving him. He acknowledged the situation is awkward but called it part of the business.
The Broncos are 7-2, while the Chargers are still searching for their first win.
Whether or not the league acts, Jim Harbaugh has made clear he believes Denver crossed a line.

