Are contracts always guaranteed?
Not necessarily. There are a few specific types of contracts that must be guaranteed. All other guarantees are a matter of individual negotiation between the player and team when the contract is signed. Only a player’s base salary can be guaranteed — not bonuses or incentives. The percentage of base salary that is guaranteed cannot increase from one year to the next (e.g., if 50% of a player’s salary is guaranteed one season, then no more than 50% of the player’s salary can be guaranteed in any subsequent season of the contract). There are actually several types of guarantees: lack of skill, death (insured or non-insured), injury/illness (insured or non-insured), mental disability (insured or non-insured), and non-insured basketball-related injury. So, for example, a contract might be fully guaranteed for any injury or illness, but not for lack of skill. Some guarantees are for a partial amount of the player’s salary, and the amount can change on specified dates.
Not necessarily. There are a few specific types of contracts that must be guaranteed. All other guarantees are a matter of individual negotiation between the player and team when the contract is signed. Only a player’s base salary can be guaranteed — not bonuses or incentives. The percentage of base salary that is guaranteed cannot increase from one year to the next (e.g., if 50% of a player’s salary is guaranteed one season, then no more than 50% of his salary can be guaranteed in any subsequent season of the contract). There are actually several types of guarantees: lack of skill, death (insured or non-insured), injury/illness (insured or non-insured), mental disability (insured or non-insured), and non-insured basketball-related injury. So, for example, a contract might be fully guaranteed for any injury or illness, but not for lack of skill. Some guarantees are for a partial amount of the player’s salary, and the amount can change on specified dates. For example, $2 million of Vla
Not necessarily. There are a few specific types of contracts that must be guaranteed. All other guarantees are a matter of individual negotiation between the player and team when the contract is signed. There are actually several types of guarantees: lack of skill, death (insured or non-insured), injury/illness (insured or non-insured), mental disability (insured or non-insured), and non-insured basketball-related injury. So, for example, a contract might be fully guaranteed for any injury or illness, but not for lack of skill.
