The Luka Doncic-Anthony Davis trade between the Los Angeles Lakers and Dallas Mavericks sent shockwaves through the NBA world. Since then, the reporting on the trade and the resulting fallout in fan and media reactions have created a tidal wave of conversation.
However, one major piece of the trade that Doncic is certain to have discussed with his agent, Bill Duffy, is the financial impact.
Per Spotrac, the trade voids Doncic's eligibility for a designated veteran extension, also known as a supermax contract. If he had remained and re-signed with the Mavericks, the 25-year-old could have agreed to a five-year, $345 million contract.
Luka Doncic is no longer eligible to sign a Designated Veteran (SuperMax) Extension, projected to come in at 5 years, $345M.
— Spotrac (@spotrac) February 2, 2025
He's now eyeing a 4-year extension worth around $229M per his trade to the #Lakers.
At best, Doncic can sign a four-year extension worth ~$229 million with the Lakers. Therefore, the trade to the Lakers is projected to cost him over $100 million on his next contract. However, it is possible for Doncic to eventually make that money back far into the future.
Per ESPN's Bobby Marks, Doncic would be best served "to sign a three-year extension this summer with a player option in 2028-29. That would allow him to reach 10 years of service and recoup most if not all from the missed opportunity to sign the super max this offseason. Starting salary in 2028-29 is $72M."
Celtics star Jayson Tatum has the largest contract in the NBA. In July 2024, Boston and Tatum agreed to a five-year, $314 million supermax contract.
ESPN's further reporting on the trade explains that Dallas felt "held hostage" by Doncic's looming $345 million supermax contract.
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