The 31-year-old has been listed on the team's injury report since Wednesday afternoon's wreck.
"Parsons was involved in an automobile accident this afternoon following practice," the Hawks said last week. "Parsons has been diagnosed with a concussion and whiplash. Parsons will now enter the NBA's concussion protocol."
Parsons suffered permanent injuries in the crash, including a traumatic brain injury, disc herniation and a torn labrum, according a news release from attorneys John Morgan and Nick Panagakis.
A Winter Park, Florida, native and University of Florida alumnus, Parsons isn't sure whether he will play again, his lawyers said.
"Chandler was in peak physical condition at the time of the wreck," the lawyers said in a statement. "He is now working with a team of doctors to regain his health, and at this time, his ability to return to play is unclear.
The accident happened about 2 p.m. Wednesday as Parsons was driving home from practice in the Atlanta suburb of Brookhaven, his legal team said.
"The at-fault driver created utter chaos on the roadway, needlessly endangering the lives of countless motorists," the statement said. "He now stands charged with DUI, admitted drinking, had alcohol in the car with him, passed out after causing a three-car crash at 2:00PM on a Wednesday in a busy intersection."
Parsons joined the Hawks this season following a trade with the Memphis Grizzlies. He has averaged fewer than 3 points in the five games he's played for Atlanta. A journeyman, the 6-foot-9 small forward was drafted in 2011 and played for the Houston Rockets and Dallas Mavericks before joining the Grizzlies in 2016.
CNN's Jill Martin contributed to this report.