I wonder if the NFL will accept the Brees Contract (1 Viewer)

Boiler Jim

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As I understand it:

The contract extends the existing agreement by 4 years (5 more years) giving Drew $44.25m in the first two years of the deal... but reducing his cap hit to $17.5 this year, from $30m.

He is to receive compensation (salary plus bonus) of $20m this year and $24.25m next year.

To get to these numbers it must be true that Drew is receiving a good sized signing bonus. I can't tell how much because I don't know what his salary will be each year and I am not clear on how far that the existing $10 million cap hit can be spread into the future. But what I do know is, however many millions that new bonus is, the Saints are spreading it over five years, from a cap perspective, instead of the the two years the contract will be in force.

Has anyone else ever done this? The auto void after 2 years appears to be done SOLELY to circumvent the NFL rules on cap space calculation.

I think there is a real chance the NFL will take issue with it.

Perhaps Superchuck500 can comment on my concern.
 

kcirdor

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Nick Fairly is on practically the same deal. Loomis has found a new loophole that they will have to deal with on the next CBA.
 

TheRealJRad

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Khai Harley has this on lock.
 

LiterOCola

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It's a recently found loophole, but now that a mega-deal has taken advantage of it I'd assume the owners will get together at the end of this season and eliminate it like they did to the poison-pill contracts some years back.
 

Hopeless

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As I understand it:

The contract extends the existing agreement by 4 years (5 more years) giving Drew $44.25m in the first two years of the deal... but reducing his cap hit to $17.5 this year, from $30m.

He is to receive compensation (salary plus bonus) of $20m this year and $24.25m next year.

To get to these numbers it must be true that Drew is receiving a good sized signing bonus. I can't tell how much because I don't know what his salary will be each year and I am not clear on how far that the existing $10 million cap hit can be spread into the future. But what I do know is, however many millions that new bonus is, the Saints are spreading it over five years, from a cap perspective, instead of the the two years the contract will be in force.

Has anyone else ever done this? The auto void after 2 years appears to be done SOLELY to circumvent the NFL rules on cap space calculation.

I think there is a real chance the NFL will take issue with it.

Perhaps Superchuck500 can comment on my concern.
Its a clever tactic that i have never seen used before the Loomis contracts this year, but at the same time, it doesnt appear to violate any rules.

its no different then heavily backloading a longer term deal, and just cutting said player when their huge salary margins pop up.

It's not like the deal structure just makes the dead money dissapear, we're still responsible for it on the tail end.
 

mdharper

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I believe if the contract is voided the cap hit is accelerated so the big cap hit gets pushed back and and somewhat spread out over three seasons. So Loomis is basically "borrowing" from future cap. It's in our favor as long as the NFL revenues, and thus the cap, continue to increase.

So what should the NFL think about borrowing against future cap?
 

SAINTSFAN

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Fairley and Kruger deals have the same structure.
 

Saint_Ward

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They will approve it because it doesn't wipe out dead money. Teams still have to be careful with those kind of deals.
 

Scorpius the Allfather

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They will approve it because it doesn't wipe out dead money. Teams still have to be careful with those kind of deals.
The way Loomis has made these types of deals this year is impressive. More impressive than the moves he has made for the past several years.
 

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