Trade rules regarding trade exception

Hassassin
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Trade rules regarding trade exception 

Post#1 » by Hassassin » Sat Dec 3, 2011 8:03 pm

Hey guys,

I need some clarification regarding the new trade rules on trade exceptions. From the summary of principal deal terms document:

The Traded Player Exception has been increased for non-taxpayers such that the amount a non-taxpaying team has available to replace a traded player or players equals the lesser of (i) 150 percent of salaries of players being traded plus $100,000, or (ii) the salaries of players being traded plus $5M. (For purposes of this rule, team is a non-taxpayer if its post-trade team salary is below the Tax level.) Traded Player Exception for taxpayers equals 125 percent of the salaries of players being traded plus $100,000 (same as under 2005 CBA).


So if a team has a 9M dollar TPE and are targeting a 12M player, they can complete a trade under the new rules of the CBA?
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Re: Trade rules regarding trade exception 

Post#2 » by DBoys » Sat Dec 3, 2011 9:37 pm

No.

That rule is referring to the salary-matching process in what we would call a "normal" trade. This has no relevance to what we call "trade exceptions" that are used for up to a year after being acquired.
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Re: Trade rules regarding trade exception 

Post#3 » by Hassassin » Sat Dec 3, 2011 9:58 pm

Thanks
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Re: Trade rules regarding trade exception 

Post#4 » by Narf » Thu Dec 8, 2011 5:35 am

I have a better question....
Can a team do multiple 150% "Simultaneous trades" to sneak under the $5 million dollar limit? Or is the NBA getting rid of that loophole?
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Re: Trade rules regarding trade exception 

Post#5 » by Narf » Thu Dec 8, 2011 5:37 am

For instance, could this be done legally by breaking it into multiple simultaneous trades?
Minnesota is still significantly under the lux tax threshold.

New Orleans:

OUT - $35,692,257
Chris Paul - $16,359,805
Emeka Okafor - $12,541,812
Trevor Ariza - $6,790,640

IN - $23,840,238
Michael Beasley - $6,262,347
Ricky Rubio - $3,480,120
Anthony Randolph - $2,911,231
Martell Webster - $5,256,000
Wayne Ellington - $1,154,040
Darko Milicic - $4,776,500
Minnesota unprotected 2014 draft pick, New Orleans 2014 2nd round pick (currently owed to Minnesota)

Every single player is on a good or "neutral" contract, and they all fit well together in New Orleans

Darko/
Randolph/
Beasley/Pondexter
Webster/Belinelli/Ellington
Rubio/Jack

Orlando:
OUT - $38,260,268
Gilbert Arenas - $19,269,308
Dwight Howard - $17,885,400
Daniel Orton - $1,105,560

IN - $29,582,612
Emeka Okafor - $12,541,812
Derrick Williams - $4,602,720 (note, this is using the 2010/11 rookie scale and may be adjusted later)
Wesley Johnson - $4,006,080
Luke Ridnour - $3,680,000
Nikola Pekovic - $4,320,000
Brad Miller (insurance paid contract) - $4,752,000
Minnesota 2016 unprotected draft pick, Memphis 1st round pick, New Jersey 2013 2nd round pick, Denver 2015 2nd round pick.

I assume Orlando Amnesties Turkoglu:

Okafor/Pekovic/Miller (on paper anyway)
Ryan Anderson/Bass
D. Williams/Wes Johnson
JJ Reddick/Q Richardson
Nelson/Ridnour/Duhon

Minnesota
OUT - $45,201,038
Michael Beasley - $6,262,347
Ricky Rubio - $3,480,120
Anthony Randolph - $2,911,231
Wayne Ellington - $1,154,040
Darko Milicic - $4,776,500
Nikola Pekovic - $4,320,000
Derrick Williams - $4,602,720
Wesley Johnson - $4,006,080
Martell Webster - $5,256,000
Luke Ridnour - $3,680,000
Brad Miller (insurance paid contract) - $4,752,000
Minnesota 2016 unprotected draft pick, Memphis 1st round pick, New Jersey 2013 2nd round pick, Denver 2015 2nd round pick, Minnesota unprotected 2014 draft pick, New Orleans 2014 2nd round pick (currently owed to Minnesota)

IN - $61,410,713
Chris Paul - $16,359,805
Trevor Ariza - $6,790,640
Gilbert Arenas - $19,269,308
Dwight Howard - $17,885,400
Daniel Orton - $1,105,560

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