Two questions have been brought up several times regarding KO's contract and buyout language. Thought I would try and clear up for everyone:
1. Section 10.2 of the contract speaks to the timing of potential payment to KO in the event he is terminated without cause and his contract must be paid out in its entirety. The last paragraph of Section 10.2 states that if the University and the Coach cannot reach a mutual agreement as to WHEN the payments will be made, then they will be made in accordance with the terms of the contract. TRANSLATION: THE UNIVERSITY WOULD NOT HAVE TO PAY HIM THE REMAINDER OF HIS CONTRACT IN AN UP-FRONT LUMP SUM IF IT CHOOSES NOT TO. THEY COULD CONTINUE TO PAY IN THE SAME MANNER THEY HAVE BEEN PAYING OVER THE REMAINING TERM OF HIS CONTRACT.
2. There IS offset language in the contract, although it is relatively insignificant vs. the remaining value of the contract. Section 11.2 lays out the declining scale of payments due to the school if KO gets another COLLEGE job as a HC or assistant Coach. If he goes to the NBA, there is NO payment due to the school. The number started at $500k for the year ended 5/31/17 and goes down by $100k each succeeding year.
Hopefully this clarifies these two key issues that many have been speculating about. It really is not a very complex contract, everything is spelled out pretty clearly.
1. Section 10.2 of the contract speaks to the timing of potential payment to KO in the event he is terminated without cause and his contract must be paid out in its entirety. The last paragraph of Section 10.2 states that if the University and the Coach cannot reach a mutual agreement as to WHEN the payments will be made, then they will be made in accordance with the terms of the contract. TRANSLATION: THE UNIVERSITY WOULD NOT HAVE TO PAY HIM THE REMAINDER OF HIS CONTRACT IN AN UP-FRONT LUMP SUM IF IT CHOOSES NOT TO. THEY COULD CONTINUE TO PAY IN THE SAME MANNER THEY HAVE BEEN PAYING OVER THE REMAINING TERM OF HIS CONTRACT.
2. There IS offset language in the contract, although it is relatively insignificant vs. the remaining value of the contract. Section 11.2 lays out the declining scale of payments due to the school if KO gets another COLLEGE job as a HC or assistant Coach. If he goes to the NBA, there is NO payment due to the school. The number started at $500k for the year ended 5/31/17 and goes down by $100k each succeeding year.
Hopefully this clarifies these two key issues that many have been speculating about. It really is not a very complex contract, everything is spelled out pretty clearly.
