School officials said in a statement Saturday that the sophomore is not eligible to return until the Spring 2015 semester.
He will not play for the 22nd-ranked Blue Devils in the Chick-fil-A Bowl against No. 20 Texas A&M.
Duncan rushed for 562 yards and three touchdowns this season and caught 13 passes for 123 yards and a score.
The Blue Devils (10-3) have gone four-deep at running back this season and will rely on junior Josh Snead, sophomore Shaq Powell and senior Juwan Thompson to make up for Duncan.
Duke plays the Aggies (8-4) on Dec. 31 in Atlanta.