Update on the Lions financial impact of Cam Sutton’s release

There’s an update in the Detroit Lions’ financial impact of Cam Sutton’s release.

When the Detroit Lions released Cameron Sutton earlier this offseason , after the veteran cornerback was wanted for domestic battery charges , many were interested in the financial impact of the move. Sutton had a whopping $10.5 million salary that was guaranteed, and back at the time, we gave as good of an explanation of what happens next based on what we knew at the time .

This week, we got a little more information on where things stand.

As initially reported, the Lions voided Sutton’s guarantees initially, meaning his $10.5 million would come off the books after June 1 (the release was also given a June 1 designation). But according to Jason Fitzgerald of Over The Cap, Sutton is planning to file a grievance with that decision, which is well within his rights, and it also changes the Lions’ cap commitment to him.

The next step is an arbitration to figure out if the Lions rightfully or wrongfully voided those guarantees.

In the meantime, the Lions will take on an extra (perhaps temporary) cap hit. In order to make sure the Lions aren’t attempting to skirt the salary cap, a portion of that voided salary will be placed back on the books: Per the CBA, 40 percent of the contested salary—or $4.2 million in this case—must go on the books until a decision is made in the arbitration or until the end of the season. Combined with the $2.18 million in signing bonus proration the Lions are on the hook for regardless, Sutton will count a total of $6.38 million against the cap once his grievance is filed. Over The Cap’s total salary cap number currently reflects those additional cap hits.

Depending on the outcome of the arbitration—which can sometimes take over a year to complete—the Lions’ cap will be adjusted in the future to reflect the decision. If they rule in the Lions’ favor, Detroit will recoup the cap space next year. If the arbitrator rules in favor of Sutton and awards the player more than the $4.2 million, the difference will be taken from the Lions’ future cap.

The good news, either way, is that the Lions currently have over $30 million in cap space and can accommodate whatever decision is made.

Here’s the section of the current Collective Bargaining Agreement that explains the cap implications of salary grievances (Article 13, Section 5, subsection e)

Grievances. When a player salary grievance is filed against a Club, 40% of the amount claimed (or, for a player whose contract qualifies under Article 27, 40% of the player’s Salary Cap count, prorated to reflect the number of weeks remaining in the regular season) will be counted in Team Salary until the grievance is resolved or until the end of the League Year, whichever comes first; at the end of the League Year, if any grievances have been settled or awards have been made, if the net total grievance amounts paid by the Club are more than the original 40% attributions and put the Club over the Salary Cap, the excess will be deducted from the Club’s Team Salary in the following League Year; if the net total grievance amounts paid are less than the original 40% attributions and the Club finishes the season at the Salary Cap or below the Salary Cap by less than the amount of the unawarded attributions, the difference will be added to the Club’s Team Salary for 108 the following League Year. If an award or settlement is made for a grievance in a League Year after the grievance was filed, and the grievance amount paid is more than the original 40% attribution, the excess shall be included in Team Salary when paid; if the grievance amount is less than the original 40% attribution, the difference shall be deducted from Team Salary when the award is made.

In short, the Lions will be on the hook for an additional $4.2 million of Sutton’s formerly guaranteed salary until a decision is made regarding the Lions’ voiding of that salary.