Difference between "waive" and "renounce"

[Jim McMaster <mcmaster@sweng.stortek.com>]

In message <199707180842.LAA22842@actcom.co.il>, "Carl and Adina Sherer" said:
> 
> I don't care how much of Dino's salary has to be eaten by Thanks Dad 
> - I care how much of it counts towards the cap.  Anyone know?
> 
Any the Celtics have to pay counts toward the cap.

> I'm not sure of this - would *anyone* else have renounced all those 
> players? Or just a smart GM? BTW - is there any difference between 
> "renouncing" a player and waiving him? I assume the difference has 
> cap implications.  If so, why couldn't they renounce Dino?
> 
"Waiving" just means the team says, "We don't want this guy, anyone want 
him?"  If any other team picks him up, they have to take his existing 
contract, and the Celtics are off the hook.  If no one picks him up, he can 
sign with anyone for any amount, and the Celtics are responsible for the 
difference between that amount and the original contract.

"Renounce" is different.  When a players contract is up, you still have the 
"Larry Bird" exception to sign him for any amount.  In order to retain that 
right, you have to count 150% of his previous salary against the cap until 
you resign him, when the new amount applies to the cap.  In order to clear 
the cap room, you have to "renounce" him, which means (a) you no longer can 
use the LB exemption and (b) you cannot resign him at all until some number 
of days (50 or 60) into the next season.  This was in order to prevent teams 
from going over the cap to sign a free agent, then resigning their own with 
the LB exemption.

Since Radja was not a free agent, he could not be renounced.  The free agents 
could not be waived.


- -- 
Jim McMaster
mailto:mcmaster@sweng.stortek.com