Jim Harbaugh Calls Out Broncos After Failed Daiyan Henley Trade, Wants NFL to Fix 'Loophole'

Los Angeles Chargers head coach Jim Harbaugh wasn't pleased with the way that the Denver Broncos handled the trade between the two teams involving linebacker Daiyan Henley that ultimately fell through.

"The Broncos based a pass/fail on a medical grade based on whether we would take less compensation and we wouldn't, and we didn't," Harbaugh told reporters Thursday. "In my opinion, it's one of those loopholes that the league should really look into because it sets a bad precedent and continues to set a bad precedent."

"It's a loophole and teams should not have the ability to do that," he added. "It's a medical grade, it's a pass/fail for a medical grade. They told us they weren't gonna pass him if it was a fourth and a fifth, which was agreed upon, and they would not pass him for that. They would pass him for a fourth and fill in the blank. I don't know what to call that, but that's what it is."

The Broncos initially agreed to acquire Henley from the Chargers in exchange for a 2027 fourth-round pick and 2028 fifth-round pick before Tuesday's deadline, but Denver eventually canceled the swap.

"The proposed trade involving Chargers linebacker Daiyan Henley will not be finalized," the Broncos said in a statement released Thursday. "We have great respect for Daiyan as a player and person, and we wish him all the best moving forward."

The failed trade came as a surprise to many, including Henley.

According to ESPN's Adam Schefter, Denver "had concerns" about Henley following his physical. The Broncos still discussed "revised trade alternatives throughout the day" with the Chargers, although an updated agreement wasn't reached.

Denver's new trade terms presented Los Angeles with the option of either a fourth-round pick and a seventh-rounder for Henley or a fourth-rounder and another pick flip, per Schefter.

The deal between the Broncos and Chargers wasn't the only swap that couldn't be finalized, as a trade between the Cincinnati Bengals and Philadelphia Eagles involving edge-rusher Arnold Ebiketie was also called off.

As for Henley, he's appeared in each of Los Angeles' first eight games this season. He's recorded 51 tackles, three quarterback hits, two passes defended and two tackles for loss.