NBA: What is a disabled player exception?

The Boston Celtics are eyeing to apply for a disabled player exception for Danilo Gallinari, as reported by ESPN. The power forward, Gallinari has been diagnosed with a torn ACL, the team announced on Friday. He is currently signed to a two-year, $6.4 million contract with the Celtics with the second year being a player option for the player.

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What is a disabled player exception?

A Disabled Player Exception, as defined in Article VII, Section 6 (c) of the Collective Bargaining Agreement, is a type of exception that allows a team that is over the salary cap to acquire a replacement for a disabled player who will be out for the remainder of that season (for in-season injuries/deaths) or the following season (if the disability occurs during the offseason). The replacement player’s maximum salary is either 50% of the injured player’s salary or the mid-level exception for a non-taxpaying team, whichever is less. This exception requires the use of an NBA-designated doctor to confirm the extent of the injury.

How does the Disabled player exception work?

1) The Disabled Player Exception, if approved, can only be used on one player over the course of a NBA season.

2) Teams can use a Disabled Player Exception to sign a free agent, trade for a player, or claim someone off waivers.

3) Teams must apply for the Disabled Player Exception which means a team must apply on or before January 10/ no later than March 10 of that season, or when the player returns, whichever comes first.

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A recent example of Disabled player exceptions used for a player: –

A recent example of a team using this exception can be the Oklahoma City Thunder which used it on Chet Holmgren, the number 2 overall pick of the 2022 NBA Draft.

Also Read: Thunder No. 2 pick Holmgren to miss season with foot injury

Holmgren, the second pick of this year’s NBA Draft got injured guarding Lebron James during a Pro-am game. It was later announced that the player had suffered a Lisfranc injury on his right foot and will be missing the entirety of the upcoming season. He underwent successful surgery on his injured foot on Tuesday.