[ClutchFans] The Chandler Parsons Contract: Salary Cap Implications of Exercising or Declining the T

Sorry I didn't answer your original question.

"And the TV show was a hit so all the actors deserve significant raises, don't they?"

No, not if they're all on a contract. A contract covers risks on both parts and each party has to take on risk. What if the actors stink. The show is still obligated to pay out the contract.

"If a team offers Parsons 4/50 then that's his market, plain and simple. If Morey pays him 4/58 then it shouldn't be that big of a deal, should it?"

It is a big deal if that contract becomes immovable or handcuffs the team later. I think DM wouldn't have a problem doing right by Parsons but not at the expense of potentially hurting the team later. I think the best thing DM can do is what he is rumored to do....get him his new contract a year earlier than he has to. That along with possibly going 5 years would be doing him right while keeping his next contract friendly for the team. Once he starts paying beyond market value, he's putting the teams future at risk.

 

The contract is up dude. It's up. Either this year or next year. Contract is up. Gotta give the raise. If we overpay $6-$10 million above what the market will bear for Parson's talents...all we are doing is making him whole for underpaying him early. And he deserves that since he did sign the convoluted 4-year deal.

It's good business. Watch it happen.

 

That's part of the equation, it doesn't have to be up. DM still has the leverage to take advantage of that last year. Giving the new contract a year earlier at 5 years when other teams can only go 4 doing right by him. He's essentially giving him an extra 10 million earlier and doing so a limited risk to the organization. BUT giving him beyond market value is doing far more than he needs to or should. DM doesn't have to and not doing so won't seem like a "slight" to him or a warning sign to other would-be 2nd round picks.

 

for me, the no. of years he is retained is the part of the contract im most worried about.

i dont want anything over 3 years Guaranteed + team/player options

 

A player option would be high risk. Offer above market value on a long term deal would be high risk. Conversely a long term deal on a fair market deal would be fine since that contract can always be moved since it's still "fair and valuable" in the market. OR higher pay on a short term deal with team options is ok too since it minimizes the long term exposure of risk.

I'm personally fine with 5 years if it's still reasonable value. I'm not too worried about his health to make that kind of commitment. And if he has to be traded later it's still doable if his contract is fair.

 

"If it's fair"... That's almost an impossibility where another team is concerned. Anyway, best of luck to Morey... Having Parsons definitely will help this team but if the price of his contract becomes too high, there are other options Rockets might look into.

 

Only one team went stupid last year on a not so max player, Detroit and it got their GM sacked in part because of it. Millsap got 9.5, Ellis got 7 (down from 12). The days of players like Parsons getting anything approaching 12m are over, the only position that warrants that sort of market is center because they're the scarcest resource. To give an example, Batum's contract is considered one of the worst around, and was a massive overpay by none other than Kahn in hope Portland wouldn't match.

 

This is true and the nature of RFA significantly limits the market and suppressed the market value of the contract as well. All it takes is one GM like Kahn though or a team just willing to screw themselves over just to screw the rockets.

Let me be clear though. If a team were to offer parsons 12 mill/per I'm not saying DM wouldn't match as long as he got his third star. I just don't think he'd for sure match or do so without serious thought just to do something good for parsons the way basketballhollic is suggesting. That would make poor business sense for any GM and DM certainly doesn't "owe" it to parsons to do so. If his hand were forced to however.....well that's a different story.

 

One thing I hadn't really put together until now......the market for SFs this year is VERY deep.

1) LeBron
2) Melo
3) Deng
4) Gay
5) Pierce
6) Hayward
7) Ariza
8) Marion
10) Kirilenko
11) Parsons
12) Granger
13) Butler
14) Mike Miller

I wonder if we aren't overpricing Parsons just a tad. After the stars sign (LeBron and Melo), teams are going to evaluate the opportunity costs for each of these guys. Sure, Parsons may be in the upper half of this list, but he's not so much better that you overpay.

2015 has very little SF depth, which means a team may be willing to overpay for Parsons, especially if he's unrestricted.

 

I am in total agreement with this.

 

the general consensus isn$8-12M not a max deal. I don't think I heard/saw anyone say he deserved a max deal

 

8-10 M is ok, 12M is a bit too much. I was also referring to the last sentence, that max deals are handed out too easily by chandlerbang 21.

 

ok gotcha. I agree with both of you guys in that case. Many of these young players that really haven't proven anything are in line to get max deals even though they are clearly not elite top 10 talents...

 

8-10 is still overpaying for him. I would keep him for 5-7. He's not aggressive enough and can't create his own shot. He's very streaky shooter and if the game isn't coming to him, he just disappears.

 

If Parsons really wanted to stay here then why did he have to sign Dallas' offer sheet the moment free agency started. Correct me if I'm wrong but LeBron's I'm Coming Home thing didn't even happen so the Rockets didn't even have an inkling of a agree they would later have with Bosh.

The fact that Parsons signed that deal before. Houston could even get an agreement with a third star and even said he was offended on how Houston didn't think of him as a third star tells me that Parsons was selfish in the contract. And had his own agenda aka get paid to the highest bidder. Which are the kinds of people I don't want on the Rockets if we are going for championships.

 

The plan had to be 1) get at least a verbal agreement from a third star and then 2) sign Parsons to whatever deal he could get himself in free agency even if it is a max contract. Parsons screwed everything up when he went for the second step, forcing the Rockets to advance plans on step number 1.

 

he definitely accelerated the timeline. I wonder if his agent encouraged him to get whatever he could asap .

 

I think there is a very good chance he wanted to be here, but I think the offer Dallas gave was a now or never offer and I bet Fegan led Parsons to believe that the Dallas offer was substantially better than anything else he would receive.

 

Or maybe Cuban said sign today or no deal and forced his hand.

 

either way the timeline was accelerated. that's what I meant. no need to make assumptions on what happened. we weren't in the room