After it leaked that Riot was barring LCS teams from streaming their competitors' games, people weren't happy. They felt that it was anti-competition and monopolized player's time unfairly.
They backtracked on this policy today, saying "we're going to be changing the LCS team requirement to something that more closely matches our intent." RiotMagus took to Reddit explaining the decision. It turns out, it wasn't that they didn't want people streaming their competitiors' games, they were worried about "preventing companies from advertising through LCS players," said Magus.
Under the new contract revision, he made it clear that it isn't about playing their games, but rather, accepting sponsorship. "While under contract to the LCS, teams and players can’t accept sponsorship from other game companies to promote other titles. Besides that, they are free to stream any games they want," said Magus.
He continued, speaking toward how that reflected on the players, "It also encroached on pros’ ability to have fun and entertain viewers during long Challenger queues – and we realize that’s not cool."
We'll continue to update you if the situation develops any further.