Quentin Grimes and Sixers Struggle in Contract Negotiations

PHILADELPHIA, PA — Quentin Grimes‘ restricted free agency took a dramatic turn on Wednesday as ESPN’s Shams Charania reported that the shooting guard and the Philadelphia 76ers remain ‘very far apart’ in contract negotiations. Grimes is considering picking up a one-year, $8.7 million qualifying offer or pursuing a sign-and-trade.

If the Sixers refuse to meet his financial demands, a sign-and-trade could offer Grimes an alternative. However, taking the qualifying offer poses a significant risk, particularly as next summer is likely to be more favorable for free agents.

The Sixers prefer to avoid losing Grimes for nothing as a free agent next summer, which makes a sign-and-trade an attractive option for both sides. However, the player movement rules regarding Base Year Compensation (BYC) complicate these discussions.

Under current league rules, if Grimes gets a raise of more than 20% and is sign-and-traded to a team over the salary cap, his outgoing salary would count for less than what he receives incoming. For instance, if he signs for $20 million, he counts as $20 million for the acquiring team but just $10 million for the Sixers, complicating potential trades.

The Sixers are currently $10 million below the first salary apron, allowing them to take back additional salary, but they would prefer not to become hard-capped at this level. Thus, they will only pursue a sign-and-trade if it balances their salary return.

With the expanded salary-matching rules in the new collective bargaining agreement, teams can now take back more salary than they send, but the BYC rules create complicated scenarios in trade structuring. This limits the teams available for a sign-and-trade.

If Grimes is open to a lower starting salary, it could create more opportunities. Otherwise, the market is tight as many teams are dealing with their own salary cap concerns.

The Sixers have not shown interest in pursuing sign-and-trade scenarios, largely viewing Grimes as part of their future. As the team prepares for their Media Day and preseason in Abu Dhabi, Grimes remains in a holding pattern, focusing on negotiations.

Officials believe a long-term contract may be out of reach at this juncture, leaving either a short-term deal or acceptance of the qualifying offer as the viable options for Grimes.