My league only allows players reasonably expected to play to be in lineups. The rule is designed to ensure nobody abandons their team. Questionable is ok, and an empty spot is okay, but if the player was declared out a day before they need to be removed from the lineup.

Penalty is on the following draft. First violation costs a 14th pick, every subsequent violation moves that penalty up 2 rounds.

There are legitimate reasons to not play a full team. I had a team in my league not want to drop any of his bench receivers or rbs and played no QB and win. Teams should be free to run their teams as they see fit, but my league wanted a way to make sure they're actually running the team.