Lebron's Nike deal doubles in NY, LA, CHI

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G-League
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Note: This is part of an article by Rob Parker in the Detroit News. (www.detnew.com)

My C-town homies are telling me people in Cleveland believe that if superstar LeBron James doesn't re-sign this summer he'll leave town after 2008, when he becomes an unrestricted free agent.
It's no big secret James and rapper Jay-Z have struck up a strong friendship. So much so that many believe James would leave his hometown for the bright lights and big stage of New York City. No, not the Knicks, but the Nets.
The New Jersey Nets, who are part-owned by Jay-Z, are expected to move across the river into a brand, spanking new arena in downtown Brooklyn in 2009. Another factor, moles say, is that James' $100 million deal with Nike doubles if he plays in Chicago, L.A. or New York.
That's what you call a salary-cap buster.
Stay tuned.
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And this was the way realGM reported it on the Wiretap Archives:

Detroit News - Rob Parker of the Detroit News reports that if LeBron James does not re-sign an extension with the Cavaliers this summer, he will leave the club and sign with the Nets after the 2008 season.

James' $100 million deal with Nike doubles if he plays in Chicago, L.A. or New York.

Cleveland papers reported earlier in the week that the chances of James signing an extension this summer have increased because of the Cavaliers' strong playoff performance.
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Thats a lot of money to pass up if he decides to stay in Cleveland
 
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Ryle

Ryle

Starter
#2
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Unless the cap goes up considerably New Jersey will still be over tha cap in 2008 so it would have to be a sign and trade.

I think Lebron stays in Cleveland. I also heard that the thing about his Nike contract was untrue......I'll try and do a little research.
 
F

Fillmoe

Guest
#3
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duck tales......

just because lebron is signed to roc a fella doesnt mean he is going to do everything jay asks him to..... lebron will stay in cleveland
 
S

striker

Bench
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Man it sucks to be a small market team. Nike pulled this crap on San Antonio in 2003. Spurs had cap spcae, were going after Brand, a restricted free agent, and had structured a front loaded deal that would make it painful for the Clips and cheap Sterling to resign him. Brand was interested in signing with SA but Nike came in and told him if he went to Miami they would give him a much sweeter shoe contract thani if he went to SA. Miami took the same package SA had put together and used it to sign Brand. Ultimately it mattered for naught since Sterliing matched Miami's offer.

Point of the story, competing as a small franchise team with the endorsment money working against you, is a bear. Ultimately only way to do it is, if you land a star, to have a franchise that engenders some loyalty over mega bucks and have a star that responds to that quality.
 
VF21

VF21

Super Moderator Emeritus
SME
#5
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Cleveland has been very good to LeBron James. I don't think he'll stab them in the back. And I honestly think Nike could be stepping into dangerous waters legally if they were trying to do something like that. I'm not sure but I think a clever lawyer for the Cavaliers or the NBA might be able to tie things up for years with some kind of "restraint of trade" or "tampering" type lawsuit.
 
VF21

VF21

Super Moderator Emeritus
SME
#7
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A Detroit paper releasing this now is certainly questionable. You have to wonder if this is just an attempt to put some kind of heat on LBJ and distract him from the task at hand.

I don't think it will work. GO CAVS!!!
 
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striker

Bench
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I can't imagine how the NBA could legally restrain plyers from signing on to teams based in part on incentives from companies for endorsements. I think it would be the NBA that would be in a world of hurt restraint of trade-wise if they tried to do so.
 
VF21

VF21

Super Moderator Emeritus
SME
#9
#9
Incentives based on trying to influence WHERE a player might play could well be considered tampering with the NBA. I haven't seen any proof of that whole Nike thing anyway. I think it's one of those rumors that have no basis in fact.

Think about it. Player X is a free agent. He's offered the max deal by team A, in a small market. Then he's offered a similar deal by team B, in a large market. He would much rather play for team A, but Nike comes along and offers him BIG BUCKS to endorse their shoes and put in a provision that he'll earn more if he plays for team B. That's not an incentive. That's tampering and could actually be perceived as bribery. It could get pretty complicated...

I'm hoping our resident lawyer will jump in and give his perspective on this.
 
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striker

Bench
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It's an incentive but it's an incentive outside of the confines of governance of the NBA and it's salary structure. Do the players have in their contracts or the players union have in their agreement with the NBA that money they receive from outside endorsements is in any way governed by the NBA? The only governances I've ever heard of are what NBA teams are allowed to offer players based on upper linmits set on individual player salaries and team salary cap situation.
 
VF21

VF21

Super Moderator Emeritus
SME
#11
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I honestly don't know, striker, which is why I'm hoping Bricklayer might be able to shed some light on the situation.
 
VF21

VF21

Super Moderator Emeritus
SME
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REMINDER:

If you're going to post an article like this, please give proper credit to the writer and the place you found it. Guidelines are in our "tips for posting at Kingsfans.com"

Thank you.
 
LPKingsFan

LPKingsFan

All-Star
#13
#13
striker said:
Man it sucks to be a small market team. Nike pulled this crap on San Antonio in 2003. Spurs had cap spcae, were going after Brand, a restricted free agent, and had structured a front loaded deal that would make it painful for the Clips and cheap Sterling to resign him. Brand was interested in signing with SA but Nike came in and told him if he went to Miami they would give him a much sweeter shoe contract thani if he went to SA. Miami took the same package SA had put together and used it to sign Brand. Ultimately it mattered for naught since Sterliing matched Miami's offer.

Point of the story, competing as a small franchise team with the endorsment money working against you, is a bear. Ultimately only way to do it is, if you land a star, to have a franchise that engenders some loyalty over mega bucks and have a star that responds to that quality.
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Oh wow. I had forgotten all about that summer. Duncan and Brand together? Wow. Shaq and Brand together? :eek:
 
VF21

VF21

Super Moderator Emeritus
SME
#15
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It seems smarmy to me. And it seems like tampering with the NBA. That's actionable.

I know there are rumors that say Nike was trying to do something, but I've spent some time and can't find anything concrete.

I THINK Nike actually has a deal with the NBA that allows them to use players for endorsements. I would think there might be something in there that would preclude them from trying to influence players in a manner that would be at odds with the Collective Bargaining Agreements.
 
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striker

Bench
#16
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LPKingsFan said:
Oh wow. I had forgotten all about that summer. Duncan and Brand together? Wow. Shaq and Brand together? :eek:
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San ANtonio would have a hellacious front court but ultimately it would have likley meant no resigning of Parker and Ginobili, so they would have had poor balance. One thing you can bet on about SA, they'll try real hard to stay out of a luxury tax situation and they will NEVER slip far into it.
 
pdxKingsFan

pdxKingsFan

So Ordinary That It's Truly Quite Extraordinary
Staff member
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There are all kinds of other factors that influence players one way or another - players avoided Canada because of Canada's higher taxes and sometimes due to trade values between our dollars and players are often enticed to the Florida teams because they own offseason homes there and the lack of state income taxes. While there is no way to regulate these things it is entirely in the NBA's interest to monitor endorsements tied to a player being in the NBA. The Bulls actually got away with underpaying Jordan for the better part of a decade because of his Nike deals so there is plenty of history for regulation. Unfortunately the league has also shown no interest in stifling player movement to the big market teams. When Shaq came to LA there was all kinds of tampering and backroom deals made to make everything fit under cap rules. The NBA gave the Lakers a pass while voiding a similar move by Juwan Howard to Miami (although the Heat are probably thankful for this one).
 
Variant

Variant

Starter
#19
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The NBA could easily ban these types of arrangements. Just throw in appropriate clauses in the contract. Player doesn't have to sign it.

I definitely don't like the idea of an external company being able to influence where the good players in our league end up at.
 
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