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Pelicans Could “Waive” Zion Williamson Next Season Due to Unfulfillment of a Clause, per Reports

Published 12/21/2023, 10:20 AM EST

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USA Today via Reuters

The New Orleans Pelicans knew what they were getting into when they offered Zion Williamson a five-year, $197 million deal. While it ensured that the young All-Star would remain in town and would help the Pelicans turn into a title contender, it came with its own set of struggles: Zion’s affinity for injuries. However, what people did not know was that the deal included a clause—a safety net for the Pelicans to fall back on.

Aside from the “weight” clause, the Pels also safeguarded themselves against injuries. The clause gives them the flexibility to “waive” Williamson without facing any financial repercussions from the league.

Zion Williamson’s future depends on the number of games he appears in this season

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As the situation stands, the last three years of Zion’s contract are no longer guaranteed. By missing a significant amount of games last season—22 to be exact—Zion triggered a clause that turned his final three years non-guaranteed. Mike Vorkunov of The Athletic reported, “That means the Pelicans have the contractual power to waive Williamson after the 2024-25 season with no financial ramifications — though rival team executives believe that would only happen in extreme circumstances.” Therefore, should Williamson be sidelined for a considerable period this season, it might impact the guaranteed salary he’s set to receive in 2024-25.

The Pels power forward had missed the entire 2021–22 season due to a broken fifth metatarsal in his right foot. As a result, the Pelicans took precautions in case he faced any further issues tied to the previous injury, such as a fracture or a stress injury to that bone or the healed callus, referred to as a “hardware failure” in the contract. In the event of such an occurrence and subsequent release from the team, half of Zion’s base salary for the 2024–25 season would no longer remain guaranteed.

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What actions can Zion take to regain the guaranteed aspects?

Williamson will be able to earn back the guarantees by participating in a sufficient number of games and ensuring he meets the weight-in checkpoints as per the deal. Furthermore, he can re-guarantee twenty percent of his salary for the 2025–26 season again if he passes all six of his weigh-in checkpoints during the 2024–25 season. He can recover 40 percent of it if he participates in at least 41 games in 2024–25 and 60 percent if he plays a minimum of 51 games. The remaining 20 percent is contingent upon appearing in a minimum of 61 games. The same goes for the last two years of his contract.

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The contract also contains several vesting dates. According to the deal, Zion’s salary for the 2024–25 season becomes fully protected if the Pels don’t waive him before the 7th of January of the 2024–25 season. Similarly, his compensation for the rest of the seasons in his contract will be completely guaranteed as long as the Pelicans don’t waive him before or on July 15 of that season.

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Written by:

Darshita Daga

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“When you think about winning, you go to the extreme '' - I try to stick by Giannis Antetokounmpo’s words. As a passionate reader, who found comfort in libraries, I am pursuing a degree course in English. With my newfound admiration for Giannis and the Bucks, I decided to explore NBA journalism as my career.
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Edited by:

Ruth John