NBA Salary Cap FAQ
66. What is a contract buyout?
Sometimes players and teams decide to divorce each other. They do this by mutually agreeing that:
After the player clears waivers, he and his former team are free to go their separate ways. There is a quid-pro-quo between the player and team regarding contractual obligation and salary -- in exchange for gaining his freedom, the player agrees to give the team a break on the remaining salary he is owed.
- The team will waive the player
- If the player clears waivers, the player's guaranteed salary will be reduced or eliminated (see question number 63)
- Optionally the team's set-off rights (see question number 65) may be waived
But there's a twist, which needed an arbitrator's ruling to resolve. As detailed in question number 63, on January 10 all contracts become guaranteed for the remainder of that season. Although compensation protection ensures the player is paid after he is waived, the compensation protection does not kick-in if the player is waived after January 10, because the player does not lose any salary. Even though the team and player can mutually agree to reduce or eliminate the player's compensation protection, he is still owed his full salary if waived after January 10.
This was challenged by John Starks during the 1999-2000 season. Starks had been traded to the Bulls, and wanted to sever ties with the team after January 10. The arbitrator ruled that in the last season of a player's contract a team and player can choose to eliminate the protection that kicks-in on January 10. Starks and the Bulls were therefore free to walk away from each other with no money owed.
After a buyout in which the player's guaranteed salary is reduced, the team cannot re-sign the player or claim him of waivers for one year, or until the waived contract would have ended, whichever is later.
The Voluntarily Retired List (see question number 79) can also be utilized when the player wishes to end his employment with his team. However, since the player is not free to sign with another team, it is typically utilized when the player really intends to retire, and not when the parties are simply seeking a divorce.
67. How do buyouts affect team salary?
Any guaranteed salary still owed to the player as the result of a buyout continues to be included in team salary, just as with any waived player. See question number 65 for details.
I'd love to see Vince back. It's time.
It would be bitter sweet to see vince win it all here.
I'd love to see Vince back. It's time.
I agree. I know for some dumb reason most American born athletes believe Toronto is in the boonies, but there's so many reasons I see Lebron wanting to come here.Can anybody explain why LeBron wants to leave the Cavs so bad, especially for a team out west? I get the weather, Hollywood, entertainment, etc. But, as long as the Warriors remain in tact, moving out west gives him even less of a chance of getting more championships.
This may sound silly, but if I'm him, and I'm determined to leave the Cavs - I'm looking at Toronto or Boston first. One of those teams adds him and they are almost guaranteed to be in the Final.
The Toronto Raptors traded small forward Bruno Caboclo on Thursday, ending his tenure with the team after three and a half seasons.
Raptors president Masai Ujiri said Friday Caboclo is a "a real talented kid," but it was time for the Raptors to move on.
"It was a difficult one for us," Ujiri said of trading Caboclo to the Sacramento Kings for guard Malachi Richardson. "I just thought it was time. I think we started the right process a little late, which I think is something we failed at but we'll learn from."
Ujiri went on to explain that the "right process" was allowing Caboclo to develop in the minor league. The Raptors did not have a D-League team when Caboclo was drafted and he played just eight games in his rookie season with the Raptors. Ujiri said Caboclo may have had more success if he spent his rookie season playing in Europe.
I think Masai will go after him, but the only problem will be giving him minutes. I think he would get way more minutes and consistent playing time with a team like OKC.
How about if Miles takes OG's minutes in the starting lineup, while Belli takes Miles' minutes off the bench? Would that be horrible? I think OG needs to sit. He has not been good for a while.
How about if Miles takes OG's minutes in the starting lineup, while Belli takes Miles' minutes off the bench? Would that be horrible? I think OG needs to sit. He has not been good for a while.
I found it quite shocking that for his career, Vince is only averaging 17.9 PPG.
I'd turn OG into more of a floater positionally, running him between the 2, 3, and 4 spots to fill whatever holes need it.