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According to NBA reporter Scotto Michael, Van frit signed a 3-year contract with the Rockets for $0.1285 billion. The third year of the contract was the team option and included 15% of the transaction margin.

As for what is the team option, you may already know it, and cousin will not repeat it here. But what is trading margin? Today, my cousin wants to show you.

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The English name of the transaction margin is trade kicker, which is a clause in the labor agreement. When a player signs a contract with his favorite team, he can ask to add a trading margin clause to the contract. In this way, Yogueta can be traded by the team during the contract period and get an extra compensation. This clause is beneficial to players, so many players will try their best to win the contract, which is the case of Van frit.

The amount of trading margin is determined through negotiation between the players and the team when signing the contract. It can be a specific number or a proportion. Van frit’s situation belongs to the latter. However, the transaction margin cannot exceed 15% of the total remaining contract amount at most.

When it is worth mentioning, when calculating the transaction guarantee, the salary of the option year (both player options and team options are included) and the unguaranteed salary will not be counted. Specifically, if the rockets decide to trade Van frit next summer, the compensation they need to pay Van Jordan is the salary of the 24-25 season in his contract multiplied by 15%, the 25-26 season will not be taken into account in the calculation because it is an option year.

A player transaction involves two teams, so when a player with a trading margin clause in the contract is traded, which side will pay the trading margin? According to the provisions of the labor agreement, the money will be paid by the team that sent out the players. In basketable nets February this year, Owen was sent to the Lone Ranger. Because Owen’s contract had a margin clause, he was compensated for $2 million basketable nets after completing the transaction.

Trading margin is a favorable clause for players. However, if a player wants to leave the team voluntarily, the trading margin clause will become an obstacle for him to leave the team. In response to this situation, the labor agreement also stipulates that players can voluntarily give up the trading deposit and do not receive compensation when being traded. Bill did such a thing during the off-season this year. In order to help himself be traded to the Sun, he gave up the trading deposit in his contract.

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Well, the above is all the contents explained in this labor agreement. I hope everyone will know more about NBA after reading it and go further on the way to understand the emperor.

Details and cases of NBA labor agreement