NBA contract buyouts are an essential tool for players and the teams in the league. It allows a franchise to be more flexible and plan the future of their team accordingly while also giving the players more flexibility on their end.
Recently Cleveland Cavaliers bought out Ricky Rubio’s contract contract, leading to his announcement of retirement accompanied by a heartwarming message to his fans and supporters.
What is NBA contract buyout?
An NBA contract buyout is exactly what it sounds like, it is a tool in the league that allows the franchises or the teams to buy players out of the contract they offered them. It is not easy to terminate a player’s contract easily without the player breaking some clause or stipulation. So the teams decide to buy the players out of their contracts, allowing them to become free agents and receive new contracts.
Conversely, the team initiating the contract buyout not only saves money but also opens up a spot in their roster. This vacancy can be utilized to sign new players or provide opportunities for talented rookies or bench players. It’s important to note that while this process shares similarities with waiving a player, they should not be confused.
The key distinction lies in the mutual agreement: in an NBA contract buyout, there is a mutual understanding between the team and the player, and only a portion of the remaining contract money is offered. In the case of waiving a player, there is no mutual agreement, as it is initiated solely by the team, and the full remaining amount on the player’s contract is offered.
How does the Rubio buyout affect the Cavs’ future?
It was recently revealed that the Cleveland Cavaliers have bought out Ricky Rubio of his NBA contract to do some fund management. Rubio soon announced his retirement afterward with a heartfelt message to his fans. Rubio has been dealing with injuries ever since he arrived at Cleveland. He missed most games in two seasons (2021-22, 2022-23) because of a torn ACL injury.
The 33-year-old posted his thoughts on X and said, “What a dream. After playing almost 12 years in the league, with all the ups and downs, I have collected a lot of good memories and relationships. Minnesota, Utah, Phoenix, and Cleveland. Wow. Thank you!”
Brian Windhorst of ESPN broke down the situation of Rubio and his NBA contract buyout, explaining that Rubio was owed almost $7.2 million on his contract and decided to take less money than that to help out the Cavs.
This move provided the Cavs with financial stability and an available spot on the roster. Windhorst then speculated that, with newfound cap space, the Cavs might attempt to sign Craig Porter Jr. to a multi-year deal, securing his presence on the team for the foreseeable future. Rubio’s buyout has afforded the Cavs additional salary space, and whether they pursue Craig Porter Jr. or recruit new talent remains to be seen in due time.
What do you think of Ricky Rubio’s NBA contract buyout? What do you think the Cavs should do with the free space in the roster and financial flexibility? We are eager to know your thoughts, so drop down in the comments and let us know.
