Sorry, but that contract is not "bad"
The problem with that player, and for the AVS, is the off-ice-life and problems of that player.
Sure, but it still statistically represents a contract that the Avalanche no longer want. For the purposes of this exercise it will count as a contract that a team doesn't want anymore, even if the circumstances are wholly unique.
In other words, if this contract expired next year, I don't think the Avs would care that much
Zito and Brisebois read this, laughed in Stanley cups and said here's another
I think I teed them up, eh?
I believe players and teams can mutually void a contract. Clearly players don't really care about a fresh start otherwise more of that would happen.
The buyout is the other option.
What may make sense is to make buyouts easier, and maybe soften the cap hit structure. Unlimited and can happen at anytime. I mean, there is no disadvantage to the player, as they get all their money, AND get new opportunities.
The only risk is teams with more money would use it to circumvent the cap more often, but as it isn't really used heavily today, there is room to tweak it.
It's just so rare a player would ever light money on fire like that.
Like, is Nurse terminating his contract even a real option? It would be the best for the oilers and probably Nurse's career, but he'll never make up that money.
Until we see a real player do it (not Zadina), it remains a tertiary option