Three things:
1. Sheed's contract is off the books, and can't be traded;
2. While it's still up in the air, the most likely result is that players who are traded can't be amnestied; and
3. Players who are traded and waived can't re-sign with their old teams for a year (or until July 1) under the new CBA. The league closed that particular loophole.
In theory, if there was a situation where we could just trade the Clips #1 for Big Al, I would do it. However, that's not a feasible scenario.