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Restructuring Contracts For Less Guaranteed Money

Last week, a guy who used to be a key part of the Green Bay Packers offense took a pay cut with his current team, the Houston Texans.  The restructuring of Ahman Green’s contract made few papers and did not garner much discussion on the airwaves, and quite frankly, it is not something that most people care about.  I bring it up because most times people see the restructuring of such a contract as a stupid move by the player and often think that the agent was not doing his job.  Instead, I offer the opinion that in a case like Ahman Green’s, his agent made a very smart move by agreeing that his client drop guaranteed salary in favor of the chance to earn similar money through bonuses.

Ahman Green was due to make $3.8 guaranteed this season, which is a lot for a guy who was limited to only 260 yards rushing last year.  He was injured for much of the year, and if his agent, Joby Branion, is confident that Green is fully healed, then he should be able to meet the benchmarks that were set.  If he hits those marks, Green may earn more than his initial contract, before renegotiation, would have offered.  Additionally, by showing good will, restructuring the contract, and opening cap space for the Texans, they will feel less of a desire to cut Green in the case that he does not perform up to their intentions or once again suffers a season damaging injury.  No matter what, Green’s base salary goes back up to $4.8 million next year, which I am sure that the Texans will gladly pay if Ahman has a good year rushing the ball.

Sometimes agreeing to give up guaranteed money is not such a bad thing.

By Darren Heitner

Darren Adam Heitner, Esq., is a preeminent sports attorney and the founder of Heitner Legal, P.L.L.C., a Fort Lauderdale-based law firm specializing in sports law, contract negotiations, intellectual property, and arbitration. He earned his Juris Doctor from the University of Florida Levin College of Law in 2010 and a Bachelor of Arts in Political Science, magna cum laude, from the University of Florida in 2007, where he was named Valedictorian of the College of Liberal Arts and Sciences. Admitted to practice in the state bars of Florida, New York, and the District of Columbia, as well as multiple federal courts, Darren also serves as a certified arbitrator with the American Arbitration Association.

As an adjunct professor, Darren imparts his expertise through teaching Sports Law at the University of Florida Levin College of Law and Name, Image, and Likeness (NIL) at the University of Miami School of Law in the Entertainment, Arts, and Sports Law LL.M. program. His scholarly contributions include authoring several books published by the American Bar Association, such as How to Play the Game: What Every Sports Attorney Needs to Know, and numerous articles in prominent publications like Forbes, Inc. Magazine, and Above the Law. His thought leadership in NIL has earned him recognition as one of the foremost experts by The Wall Street Journal, USA TODAY, and On3, and he has been lauded as a “power player in NIL deals” by Action Network and a “top sports trademark attorney” by Sportico.

Darren’s passion for sports law led him to establish Sports Agent Blog on December 31, 2005, initially titled “I Want To Be A Sports Agent.” The platform, created as a New Year’s resolution, has grown into a cornerstone of the sports agency community, offering in-depth analysis of industry trends, legal disputes, and agent-player dynamics. His commitment to the field is further evidenced by his representation of numerous athletes and sports agents, as well as his prior role as an Adjunct Professor at Indiana University Bloomington, where he developed and taught a course on Sport Agency Management from 2011 to 2014.

Darren’s contributions have been recognized with prestigious honors, including the University of Florida’s 40 Under 40 Award, the University of Florida Levin College of Law’s Outstanding Young Alumnus Award, and designation as the best lawyer in Fort Lauderdale by Fort Lauderdale Magazine. He remains an active voice in the sports law community, sharing insights through his weekly NIL newsletter and his X posts, engaging a broad audience on legal developments in sports.

3 replies on “Restructuring Contracts For Less Guaranteed Money”

totally agree it seems like a win-win situation, some players in the NFL actually care about giving their chance a team to win by freeing up a little cap space, doesn’t hurt that it could help the player out in the long run

I don’t like the move. If Ahman is healthy and confident in his abilities to have a solid season rushing the ball, then he probably doesn’t see much risk in restructuring the contract and taking less guaranteed money.

However, 2005 and 2007 were not good years for him, all due to injury. He is 31 years old, which by any means is NOT too old to be a great running back. But, after suffering injuries in 2 of his last 3 seasons, I think it would have been smarter to take the guaranteed money. Maybe he is being a little overconfident? We will see.

I would like to see the benchmarks and try to make some predictions.

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