The Ultimate Philadelphia 76ers Guide to NBA Free Agency

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Mar 29, 2016; Indianapolis, IN, USA; Chicago Bulls guard Derrick Rose (1) dribbles the ball against the Indiana Pacers in the second half at Bankers Life Fieldhouse. Mandatory Credit: Thomas J. Russo-USA TODAY Sports /

Exemptions Related to the Derrick Rose Situation

The Designated Player Rule (The Derrick Rose Rule)

Each team in the NBA has the right to nominate one rookie to receive a designated player extension. This allows teams to offer this player a 5-year extension, compared to the usual limit of 4. Teams can only have one designated player on a roster at one time. However teams are allowed to sign a designated player from another team, meaning they can have two, this is the final limit and no more can be signed except this.

The “Derrick Rose Rule” as it was coined means that a designated player can earn 30% of a teams salary cap instead of the usual limit of 25%.

In order to do this, that player must meet certain criteria;
they must have either been voted to start in the All-Star game at least twice,
be named to an All-NBA team at least twice,
or have won MVP.

Only three players in the NBA have qualified to sign a contract with this exception: Derrick Rose (Chicago Bulls), Blake Griffin (LA Clippers) and Paul George (Indiana Pacers).

Next: Bird Exception