Bill Belichick’s UNC Contract in Limbo, Raising $10M Buyout Questions

CHAPEL HILL, N.C. — Bill Belichick, the newly appointed head football coach at the University of North Carolina, has yet to sign a fully executed contract with the school, raising questions about the enforceability of a $10 million buyout clause should he leave for the NFL. The uncertainty stems from a term sheet signed in December 2024, which outlines the terms of his employment but explicitly states it is not a binding agreement.

Belichick, who signed the term sheet on Dec. 11, 2024, agreed to a five-year deal worth $10 million annually, with the first three years guaranteed. The document includes a $10 million buyout if he terminates the agreement before June 1, 2025, dropping to $1 million after that date. However, the term sheet’s non-binding nature has created a legal gray area, leaving UNC vulnerable if Belichick decides to return to the NFL.

“The University proposes to enter into an Employment Agreement with Bill Belichick to serve as the Head Football Coach,” the term sheet reads. “It is understood and agreed that this proposal of terms and conditions shall not constitute a binding agreement.” A UNC spokesperson confirmed this week that the term sheet remains the only signed document between Belichick and the school.

Industry sources say it is not uncommon for college coaches to begin work without a fully executed contract. “Schools drag their feet like crazy, and I don’t know why,” said one agent who works with both college and professional coaches. However, the lack of a binding agreement could complicate matters if Belichick, who has been linked to several NFL openings, decides to leave UNC.

UNC General Manager Michael Lombardi, a longtime associate of Belichick, has publicly dismissed speculation about the coach’s departure. “Bill Belichick committed to North Carolina. He committed it to me, he committed it to the university,” Lombardi said. “There’s been no conversation about anything.”

Belichick has been actively building his staff at UNC, retaining tight ends coach Freddie Kitchens and hiring former Patriots strength coach Moses Cabrera. He has also been recruiting heavily, signaling his commitment to the program. Yet, the absence of a signed contract has left some within the UNC community uneasy.

NFL rules complicate the situation further. The league’s anti-tampering policy requires teams to determine whether a college coach is under contract before initiating contact. If Belichick is not bound by a formal agreement, an NFL team could pursue him without notifying UNC. This scenario has fueled speculation about potential destinations, including the Dallas Cowboys, whose owner, Jerry Jones, has a long-standing relationship with Belichick.

If Belichick were to leave without paying the buyout, UNC would face a difficult decision: pursue legal action or accept the loss. “The school only has itself to blame for not insisting that Belichick sign the contract,” one source noted. Until a formal agreement is signed, Belichick remains an at-will employee, free to leave at any time.

For now, Belichick continues to prepare for his first season at UNC, but the unresolved contract situation looms large over the program. As one NFL assistant coach put it, “[If] you give your word to all these people that hire you, the kids, the parents of those kids, the commitment to the university, [it] would feel so wrong to leave.”