Player contracts are not guaranteed; teams are only required to pay on the contract as long as the player remains a member of the team. If the player is cut, or quits, for any reason, the balance of the contract is voided and the player receives no further compensation.
Unless, of course, there is a "Guaranteed Money" provision in the contract.
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Player contracts tend to be "back-loaded". This means that the contract is not divided equally among the time period it covers. Instead, the player earns progressively more and more each year. For instance, a player signing a 4-year deal worth $10 million may get paid $1 million the first year, $2 million the second year, $3 million the third year, and $4 million the fourth year. If a team cuts this player after the first year, the final three years do not count against the cap. Any signing bonus, however, ceases to be pro-rated, and the entire balance of the bonus counts against the cap in the upcoming season
· 1 decade ago