Author Topic: How do the NBA salary cap rules really work?  (Read 13774 times)

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Re: How do the NBA salary cap rules really work?
« Reply #75 on: December 01, 2019, 03:46:56 PM »

Offline bdm860

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Larry Coon is the man.  So I actually emailed him this at 12:29pm PST, and he responded 5  minutes later at 12:34pm.

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Hi Larry,

There's a debate over at CelticStrong about if players like Jaylen Brown or Domantas Sabonis can be traded before the trade deadline this season. (Convo starts here if you care to read it: https://forum.celticsstrong.com/index.php?topic=99978.msg2745111#msg2745111).  There's debate on if their teams have to wait 6 months to trade them (which falls after the trade deadline this season) or they can be traded now (as long as poison pill provisions are met).  Here's what we know:


*Both Brown and Sabonis signed extensions that were announced on 10/21/19
 
*Per your CBAFAQ #101, it says teams can't trade players "for six months after signing a player to an extension that is over the limit (in terms of years, salary or raises) for an extend-and-trade transaction5 (see question number 95)"

*Both Brown and Sabonis don't appear eligible for extend-and-trade, having signed for 4 year deals, with more than 5% increases from current rookie deal.

*But under question 95, you do have footnote #2 which says: "This does not apply to extensions of rookie scale contracts. For example, the Oklahoma City Thunder traded James Harden to the Houston Rockets on October 27, 2012, and the Rockets signed him to an extension four days later."  But it's unclear if this is only talking about extending a rookie scale contract received in a trade without waiting 6 months, or being able to both trade away an extended rookie scale contract and being able to extend a rookie scale contract received in a trade without waiting the 6 months.

*Per the actual CBA document (https://cosmic-s3.imgix.net/3c7a0a50-8e11-11e9-875d-3d44e94ae33f-2017-NBA-NBPA-Collective-Bargaining-Agreement.pdf) on pages 220-230 it seems only “7(a)” extensions — Veteran extensions — are subject to the six month rule. “7(b)” Rookie Scale extensions are treated under separate rules with no mention of 6 month waiting period.

So in your professional opinion, is it possible to trade Jaylen Brown and Domantas Sabonis before the 2020 trade deadline (assuming appropriate salary/roster provisions are met), or is there a 6 month waiting period to trade them?


And this was his response 5 minutes later:

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You got the basic rule correct – the six-month waiting period is designed to keep teams from getting around the extend-and-trade limitations (three seasons, five percent raises) by separating the extension from the trade and doing them as separate transactions. If they’re going to try to do that, then they have to go through the waiting period. But rookie extensions are a different category of extension, so the same rules don’t apply. They can be traded right away, and the timing (extension first or trade first) doesn’t matter.

 

LC

After 18 months with their Bigs, the Littles were: 46% less likely to use illegal drugs, 27% less likely to use alcohol, 52% less likely to skip school, 37% less likely to skip a class

Re: How do the NBA salary cap rules really work?
« Reply #76 on: December 01, 2019, 04:06:08 PM »

Offline keevsnick

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Well looks like we owe Fierce and apology. Of course the PPP provision makes it very hard to trade Jaylen anyway and the Celtics also wont do it just because he's good and its dumb to trade a good 23 year old wing so we are kind of arguing over nothing.

Re: How do the NBA salary cap rules really work?
« Reply #77 on: December 01, 2019, 04:27:55 PM »

Offline hwangjini_1

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My apologies. Guess Coon is wrong, as well as myself.
is that even possible???  ;)
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Re: How do the NBA salary cap rules really work?
« Reply #78 on: December 01, 2019, 04:45:25 PM »

Offline Fierce1

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Well looks like we owe Fierce and apology. Of course the PPP provision makes it very hard to trade Jaylen anyway and the Celtics also wont do it just because he's good and its dumb to trade a good 23 year old wing so we are kind of arguing over nothing.

I agree.

No need to trade Brown right now.
He's playing at an All-Star level.

Before he signed the extension, I said Ainge should trade Brown if Brown insists on the max.

Reason is if Brown gets the max, it would hurt the Celts' salary cap situation in the long term.

But since Brown agreed to take less than the max, it's a win for Jaylen, the Celtics, and Celtic fans.

Re: How do the NBA salary cap rules really work?
« Reply #79 on: December 01, 2019, 04:50:31 PM »

Offline keevsnick

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Well looks like we owe Fierce and apology. Of course the PPP provision makes it very hard to trade Jaylen anyway and the Celtics also wont do it just because he's good and its dumb to trade a good 23 year old wing so we are kind of arguing over nothing.

I agree.

No need to trade Brown right now.
He's playing at an All-Star level.

Before he signed the extension, I said Ainge should trade Brown if Brown insists on the max.

Reason is if Brown gets the max, it would hurt the Celts' salary cap situation in the long term.

But since Brown agreed to take less than the max, it's a win for Jaylen, the Celtics, and Celtic fans.

Ya I'd even if he didn't improve at all from how he's playing now he'd probably be worth his contract, but I'd also say he'll likely get even better. So its looking good right now.