Washington made headlines last year when news leaked that he had called Knight, who is gay, a "faggot." After about a week, the story blew over, but it blew up again at the Globes when Washington denied that he had used the word. After Knight called Washington's bluff and gay rights organizations put the pressure on ABC, the network issued a statement damning Washington's words. The actor has since entered a rehabilitation facility for counseling. But Isaiah's entrance to rehab may not be enough to heal T.R.'s wounds.

An insider told MSN's The Scoop that T.R. "is so upset about the situation and so disgusted by how it was all handled...He was told not to say anything about the whole incident. He kept his word, but then the whole thing blew up again at the Golden Globes, and when he was asked about it, he basically called Isaiah a liar. He feels that the atmosphere there is so toxic and unhealthy. I suppose things could change...but for now, he's planning to leave the show."

Knight's rep was unsure of how to answer The Scoop's questioning when asked to comment on the insider's story. Later, however, she called to say that the rumor was "completely, one thousand percent false." ABC also said, "Rumors of T. R. Knight's departure from the show are irrefutably untrue."