West was reinstated after a Tuesday afternoon meeting with coach Rick Carlisle and president of basketball operations Donnie Nelson.
"Back on track," Nelson said in a text message.
Sources told ESPNDallas.com that West's suspension stemmed from an outburst in the locker room after the Mavs' 123-104 preseason win Monday over the Houston Rockets. He had two points, two assists and one rebound in 16 minutes during the win.
Carlisle said Tuesday afternoon that he hoped the situation with West would be resolved quickly. West will rejoin the team for the Wednesday shootaround and will be available for the Mavs' preseason game against the Phoenix Suns, Carlisle said Tuesday evening.
West, an eight-year veteran who has been diagnosed with bipolar disorder, was a key role player in his first season in Dallas last year. He averaged 9.6 points and 3.2 assists and provided tenacious defense at both guard positions.
Carlisle lobbied for West, who signed another one-year deal this summer, to return to Dallas. Carlisle has said many times how much he appreciates West's competitive spirit, even though it can occasionally cross the line.
"I love him as a kid," Carlisle said a couple of weeks ago. "I love the fact that he faces challenges day to day and he meets them head on and he's honest. He and I talk a lot. It's a relationship that isn't always smelling like roses, but we manage to grow because we're talking all the time.
"It's important that I always hear what he has to say because he's a knowledgeable guy. Sometimes he's got to listen to me. Sometimes he's not crazy about it, but that's just the way it is."