Trade & FA 2023-24: Stein-Ingram Trade Inevitable| LAL Want Lebron Back On Any Terms

[DanSchwartzgan]

Lets say SD has a 20 mil contract and he agrees to buyout at full value. Toronto will pay 20 mil minus whatever he gets from Mavs.

If I understand correctly, the ability to pay more would come into play if Mavs would sign someone into their remaining MLE past this season. Lets say, if SD agreed to a multiyear deal at 5 per or whatever space Mavs have left.

The other place it might come into play would be if SD took a discount in order to be set free.  Say he took $15mm to not have to move to Canada (forgetting proration for a moment).  

An element of that negotiation is something they call the ‘offset’ language.   Toronto might agree that the money SD might receive in the buyout market doesn’t go against what they owe him since he took a sizable discount.  So, if SD goes to a Vet Min offer he gets $17mm for the year (again forgetting proration to keep it simple).  If Dallas pays him $5mm, he gets back to even.  

My memory is foggy, but I think something like that happened with DWill, but I could be mistaken.

Edit:  To address MFFL’s point about waivers, I think (at least in the old CBA), the waiving team only gets back a portion of the new salary up to the Minimum.  So, if the new CBA has the same language then SD profits the amount over the minimum he gets.  He’s probably trying to get some or all of his bonus back.  As FGump said though, Dallas won’t go over the tax.  So, the offer would be a portion of the pro-rated MLE up to the tax.