freakazoid
Well-Known Member
I can't find anything saying TPE's have a cap hold. If that's the case then Jazz should wait until after free agency to use this. Can anyone think of a similar situation that we can use as a reference?
I thought the explanation by Mantis was pretty solid, but here is some more language from Coon's faq on the old CBA that supports it.
So being under the cap does not necessarily mean a team has room to sign free agents. For example, assume the cap is $49.5 million, and a team has $43 million committed to salaries. They also have a Mid-Level exception for $5 million and a Traded Player exception for $5.5 million. Even though their salaries put them $6.5 million under the cap, their exceptions are added to their salaries, putting them at $53.5 million, or $4 million over the cap. So they actually have no cap room to sign free agents, and instead must use their exceptions.
Teams have the option of renouncing their exceptions in order to claim the cap room. So in the example above, if the team renounced their Traded Player and Mid-Level exceptions, then the $10.5 million is taken off their team salary, which then totals $43 million, leaving them with $6.5 million of cap room which can then be used to sign free agent(s).
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