The rules of the NBA’s collective bargaining agreement are fascinating to a certain segment of NBA fans, so with that in mind, we bring you this financial quirk involving J.R. Smith.
The reigning Sixth Man of the Year signed a three-year deal worth just under $18 million to remain with the Knicks a few weeks back, and using the rules (potentially) to his advantage, has already been paid out at least half of the entire value of his contract.
From Frank Isola of the New York Daily News (via HoopsHype):
A league source confirmed that J.R. Smith has already been paid $8.974 million of the $17 million contract he signed three weeks ago. Smith agreed to a two-year deal worth $11 million with a player option for a third season. Five days after agreeing to a new contract, Smith had knee surgery that, according to the club, will sideline him up to four months.
This doesn’t affect the Knicks’ cap figure in any way, and theoretically (if Smith invests the money wisely) it would be beneficial to the player to get paid out as much as possible immediately to begin to earn interest on those otherwise future dollars.
Mark Deeks, who runs the comprehensive NBA salary site ShamSports.com, explained how this fits within the league’s rules a few days back.
Smith did NOT get 80% of his contract paid up front. That’s not allowed. What IS allowed, however, is having 50% of your base salary given..
…to you as an advance prior to November 15th of the relevant season (no more than 25% before October 1st.) This is what Smith has done.
It’s a smart decision, provided Smith does something productive with all of that up-front cash.
About a month ago, the Bulls said they hadn’t discussed a buyout with Dwyane Wade.
Have the two sides progressed since?
Nick Friedell of ESPN:
Dwyane Wade isn’t long for the organization’s future and is expected to reach a buyout agreement at some point in the next few months.
Expected by whom?
People with direct knowledge of momentum toward a buyout?
Or everyone who can see that a 35-year-old earning $23.8 million fits poorly on a rebuilding team?
For the Bulls to now drop their biggest name and a large expiring contract that could prove useful in trades should require Wade surrendering a large portion of his salary. He doesn’t sound like someone inclined to do that yet.
A few months is a long time. As long as Wade gets bought out by March 1, he could join another team’s playoff roster. It’d surprise nobody if he gets bought out after the February trade deadline, which we already knew. I don’t see strong indication of something more imminent.
LeBron James has done a terrible job shooting down rumors about him leaving the Cavaliers
Except this one from Chris Sheridan, who cited a source saying LeBron would “100 percent” leave Cleveland next summer due to a rift with Cavs owner Dan Gilbert.
Joe Vardon of Cleveland.com:
Sheridan’s source saying LeBron is leaving doesn’t make that true. But other anonymous sources denying it doesn’t make the denials true, either.
The Pelicans have been crushed by injuries the last few years.
Why? That’s an incredibly complex question.
But the New Orleans Saints – who share an owner (Tom Benson), a front-office leader (Mickey Loomis) and other staff with the Pelicans – have found culprits for their own injury woes.
Mike Triplett of ESPN:
The Saints have fired team orthopedists Deryk Jones and Misty Suri, per source, after it was discovered that CB Delvin Breaux has a fractured fibula and will require surgery expected to sidelined him for 4-6 weeks. Breaux was originally diagnosed with a contusion
Suri is a Pelicans team physician.
Scott Kushner of The Advocate:
Fairly or not, Suri – after the Saints deemed him unacceptable – will be in the crosshairs if he keeps his job with the the Pelicans and their injury woes continue.
Chris Sheridan was ahead of the crowd in 2014, reporting LeBron James would likely leave the Heat for the Cavaliers – which obviously happened.
But Sheridan called it a “90 percent chance,” a small – but large enough – hedge. He also said LeBron would announce the decision on LeBron’s personal website. Of course, LeBron revealed his choice in a Sports Illustrated essay.
So, maybe Sheridan knows what he’s talking about. Maybe he doesn’t.
But the longtime NBA writer just fanned the flames of the already hot LeBron-leaving-Cleveland rumors.
Of course, the denials came quickly.
There have already been plenty of warning signs about LeBron’s relationship with Cavs owner Dan Gilbert, which didn’t restart in a great place.
It’s entirely believable LeBron would leave Cleveland, in large part due to Gilbert.
But it’s also fun to speculate about that salacious storyline.
Maybe Sheridan or his source got carried away for that very reason. Or maybe they know something.
Neither possibility should be discounted.