The university announced on January 30 that Felton had been suspended and made ineligible to participate in university activities.
Sutton said UNC has given Felton his release and he is free to talk with schools.
Jalek Felton has played his final men's basketball game at North Carolina, and has withdrawn from the university after the school suspended him late last month amid an investigation into his conduct.
Felton, a native of Mullins, S.C., is the nephew of Raymond Felton, who was a UNC All-American point guard who helped lead the Tar Heels to the 2005 national championship. It categorized it as a "misconduct case". "It's time for a new dream", Felton said in the statement on Twitter.
It is unclear what caused the suspension.
"Essentially they kicked him out without giving him his rights", Sutton said in an interview Thursday, per Andrew Carter of the Raleigh News Observer.
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Felton, a five-star recruit and the No. 1 player out of SC according to ESPN, averaged 9.7 minutes a game, and scored 2.9 points per game in the 22 games he played at North Carolina.
Felton's lawyer, Kerry Sutton, commented to ESPN: "There is nothing we've heard that justifies UNC's actions against #jalek felton". The freshman has been off campus since his suspension was announced before a game against Clemson. He scored eight total points in conference play.
Jalek Felton's time at North Carolina is over. He was ranked No. 30 in the country, per 247Sports' composite rankings.
It's unclear whether whatever caused his suspension at North Carolina will follow him as he pursues playing college basketball elsewhere, but the former 4-star prospect would have to sit for a year as a transfer student if he finds any Division I schools interested in his service.
Some have speculated that he might end up back at SC to play for the Gamecocks.
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