Even though a reunion appears unlikely, the Memphis Commercial Appeal reported earlier this week that Lionel Hollins and the Grizzlies had continued to talk about a possible extension for the head coach. That no longer appears to be the case, however, according to Ramona Shelburne of ESPNLosAngeles.com, who hears that discussions between the two sides have gone "dormant" over the last few days.
According to ESPN.com's Marc Stein (cited in Shelburne's article), the Nets initially asked for permission to speak to Hollins last week, at which point they were told the Grizzlies wanted to keep negotiating with their head coach before allowing him to speak to other teams. Now that talks between Hollins and the Grizz have stalled, Memphis has granted the Clippers permission to speak to Hollins and also informed the Nets that Brooklyn has the clearance to interview him, says Shelburne.
Given the strong interest the Nets have in Brian Shaw, it's not clear if the team will circle back to Hollins, but it appears that option is available. As for the Clippers, they may also prefer to hire Shaw, but Shelburne writes that Hollins remains a strong candidate for L.A. since he's a veteran coach with an extensive track record, while Shaw has never had a head coaching job.
George Karl has also been mentioned as a potential candidate for the Clippers, but both Shelburne and Benjamin Hochman of the Denver Post report that L.A. has yet to ask Denver for permission to speak to Karl. It seems to me as if the Clippers' potential interest in Karl won't evolve into anything serious.