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Donovan Mitchell Opts Out of Cavaliers Contract

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  Published in Sports and Competition on Saturday, January 31st 2026 at 2:24 GMT by Sporting News
      Locales: Ohio, Utah, UNITED STATES

Cleveland, OH - January 31st, 2026 - The Cleveland Cavaliers are bracing for a pivotal offseason as star guard Donovan Mitchell is widely expected to opt out of his current contract and explore free agency this summer. News broke earlier today, confirmed by multiple sources, that Mitchell will decline his player option, opening the door for potentially significant changes to the Cavaliers' roster and future trajectory.

Mitchell, who joined Cleveland in a blockbuster trade with the Utah Jazz in 2022, signed a four-year, $132.4 million contract extension in 2023. However, given his performance and rising value in the league, many analysts believe that figure now represents a significant underpayment. The current NBA landscape, fueled by a booming media rights deal and increased revenue sharing, has drastically inflated player salaries, particularly for players of Mitchell's caliber.

While Mitchell has enjoyed a successful run in Cleveland, becoming a two-time NBA All-Star and a cornerstone of the Cavaliers' offense, his decision to test the open market speaks volumes about his desire to maximize his earning potential. Sources close to Mitchell indicate that he appreciates the city of Cleveland and the Cavaliers organization, but believes he can secure a contract exceeding $200 million, possibly even approaching the $250 million mark, in free agency. This would place him among the highest-paid players in the NBA.

The Cavaliers now face a complex challenge. Retaining Mitchell is clearly a top priority, but they must navigate a delicate balance between offering a competitive contract and maintaining financial flexibility for the future. The team is already committed to significant long-term contracts with players like Evan Mobley and Darius Garland, limiting their ability to offer Mitchell a maximum-level contract without potentially incurring hefty luxury tax penalties.

Potential Suitors Emerge

Several teams are expected to aggressively pursue Mitchell in free agency. The Los Angeles Lakers, consistently seeking star power, are a likely contender, particularly if they manage to create cap space. The New York Knicks, with their large market and ambitious ownership, are also anticipated to be in the mix. Other potential suitors include the Philadelphia 76ers, the Boston Celtics (if they experience significant roster turnover), and even the Chicago Bulls, who could see Mitchell as the missing piece to contend in the Eastern Conference.

Cleveland's Options

The Cavaliers have several paths they can explore. They could offer Mitchell a five-year, supermax contract, though this would likely put them far over the luxury tax threshold. A shorter-term, high-value deal could also be considered, offering Mitchell financial security while allowing the Cavaliers to reassess their situation in a few years. However, this approach carries the risk of losing Mitchell after a shorter period.

Another possibility is a sign-and-trade, where the Cavaliers work with another team to facilitate a deal that allows them to retain some assets in exchange for Mitchell. This could alleviate some of the financial burden and provide the Cavaliers with draft picks or young players to build around. However, a sign-and-trade would require a willing partner and potentially limit the Cavaliers' ability to negotiate the best possible deal for Mitchell.

The impact of Mitchell's potential departure extends beyond just the Cavaliers. His absence would significantly alter the competitive landscape of the Eastern Conference, potentially opening the door for teams like the Milwaukee Bucks and the Boston Celtics to solidify their positions as championship favorites.

Looking Ahead

The next few months will be crucial for the Cavaliers. They need to assess their financial situation, evaluate their roster needs, and develop a comprehensive plan to either retain Mitchell or navigate life without him. The outcome of this offseason will undoubtedly shape the Cavaliers' future for years to come. The situation is a stark reminder of the challenges facing teams in the modern NBA, where player empowerment and financial constraints often collide. The Cavaliers' handling of this situation will be a closely watched case study for other franchises facing similar dilemmas.