Smith was a member of the Rockets last season before signing with the Clippers as a free agent.
Ironically enough, Smith played an integral role in Houston advancing to the Western Conference finals after overcoming the Clippers' 3-1 series lead.
Smith's success, however, hasn't carried over in Los Angeles. He averaged 5.7 points and 3.9 rebounds while shooting an abysmal 38.3 percent and has been a questionable - if inattentive - defender.
He was expected to rejuvenate a lifeless Clippers bench, but instead found himself out of Doc Rivers' rotation altogether. Smith received 10 DNP-CDs over the last 14 games despite the absence of starter Blake Griffin.
The trade will save the Clippers nearly $2 million in luxury tax payments and create a trade exception worth nearly $1 million.