Brady Henderson of ESPN.com reported the news Tuesday, noting Kendricks pleaded guilty to insider trading in September but has seen his sentencing postponed multiple times. The Cleveland Browns released him amid the insider trading situation, but Seattle signed him last season after Bobby Wagner and K.J. Wright suffered injuries.
Henderson cited a source who said in October that the California product could face 30 to 37 months in prison.
A complaint from the Security and Exchange Commission said illegal tips Kendricks received helped him make approximately $1.2 million, per Henderson.
He served an eight-game suspension during the 2018 campaign and appeared in just four contests with 19 tackles. In addition to the insider trading case, he is returning from leg injuries that cut his already brief season short.
Seattle re-signed him to a one-year deal, and Henderson reported at the time it featured no guaranteed money or signing bonus. There were also a number of incentives based on playing time, whether he was on the 53-man roster at the start of the 2019 campaign and statistical production in a testament to how uncertain his situation is at this point.
Kendricks played for the Philadelphia Eagles from 2012 through 2017. He tallied 113 tackles in 2013 and helped the Eagles win the Super Bowl in his final season with the team.
The Seahawks don't need him as much at linebacker as they did when they initially signed him, seeing as how Wagner and Wright are back on a group that also includes Barkevious Mingo.