Could Injury Provisions Solve Declining Player Participation in the NBA?
Months after signing center Joel Embiid to a three-year, $193 million contract extension last September, there is already uncertainty about whether the 76ers made the right decision.[i] Embiid has shown signs of generational talent when healthy,[ii] but his health over the years has potentially affected his career longevity.[iii] After only appearing in 19 of the Sixers’ games this season, the team announced that Embiid would miss the rest of the season due to injury.[iv] Embiid’s injury continues a trend that has led to his absence in 45% of the team’s games since Embiid was drafted.[v]
An uptick of injuries in the league have had a snowball effect on player participation, the quality of play, and, subsequently, fan viewership. Joel Embiid is only one of many of the league’s stars missing multiple games due to injury this season.[vi] There are 49 star players (i.e., a player who made the All-Star team or All-NBA team over the last three seasons) in the league this season. [vii] However, combined, these athletes are projected to miss over 1,000 games this season, causing fans to wonder where their favorite players are.[viii]
Now, after more than a decade of Embiid’s injuries, the Sixers face a tough decision in their quest for the next title: what to do with their franchise player, who is often absent but has recently become one of the wealthiest athletes in the world.[ix]
Injury Provisions for Financial Protection
The Sixers took protective measures against excessive injury-caused absences in Embiid’s five-year contract extension in 2017.[x] Because Embiid missed over half of the 2016-2017 season, the Sixers, NBPA, and Embiid’s agents created a contractual agreement that would provide financial protections for the franchise if Embiid suffered any specific catastrophic injuries.[xi]
To trigger the 2017 contractual provision awarding the Sixers the option to release Embiid, an injury to either his back or feet must cause him to miss at least twenty-five regular-season games and play less than 1,650 minutes.[xii] Any other injuries would not meet the criteria for the Sixers to waive Embiid.[xiii]
In the 2024-2025 season, Embiid played only 19 games and logged 574 minutes.[xiv] If the catastrophic injury provision were included in his latest contract extension, the Sixers would have the right to release him. However, negotiating his 2021 contract extension on his own proved successful for Embiid, as he secured a supermax extension while eliminating the injury provision.[xv] The terms of the 2024 extension have not been disclosed.[xvi]
Other teams could benefit from adopting language similar to the Sixers’ previous injury provisions. For instance, the New Orleans Pelicans signed Zion Williamson, who was regarded as the league’s “next young phenom,” yet has missed 230 of the Pelicans' 424 regular-season games since drafted due to injuries.[xvii]
Medical Retirement: A Last Resort
Another potential solution to freeing up Embiid’s salary from the Sixers’ cap space is to consider medical retirement. The medical retirement process is usually a team’s last resort, reserved for players who suffer career-ending illnesses or injuries.[xviii] One year after a player’s last game, a team can petition for the player’s medical retirement.[xix] Then, a league-approved doctor chosen by the NBA and NBPA would evaluate the athlete’s ability to play.[xx] If the player is found unable to play, the remaining contract would be removed from the team’s salary cap; however, the team would still need to pay the remaining salary as contractually obligated.[xxi]
The most recent example of medical retirement is Chris Bosh, former Miami Heat power forward. Medical review by the NBA and NBPA confirmed the Heat’s position: Bosh faced a career-ending illness.[xxii] He was waived by the Heat in 2017 and officially retired in 2019 after an unsuccessful attempt to make a comeback.[xxiii] Although Bosh was medically retired in 2017, the Heat upheld his contract and distributed the remaining $52.1 million in equal installments until 2022.[xxiv]
Embiid becomes eligible for medical retirement in February 2026.[xxv] Given Embiid’s medical history, it is likely that the Sixers purchased a disability policy for the franchise player, which would allow the team to recover at least a portion of his salary.[xxvi] However, creating additional cap space by removing Embiid in this manner still presents a significant risk to the Sixers. The team must ensure that after medical retirement, Embiid will not seek to return to the league. If he recovers while still under contract, he could come back to the team.[xxvii] If Embiid does return and the cap space has already been used, the Sixers will incur a luxury tax bill and lose roster flexibility.[xxviii]
Nonetheless, as more and more major franchise players miss games due to repeated injuries, teams may benefit from following in the Sixers’ previous footsteps and drafting contract provisions that include financial protections for ongoing injuries. These efforts protect teams, incentivize players to play safer, and promote viewership.
[i] Sixers May Already Regret Joel Embiid's 193 Million Extension, Forbes, https://www.forbes.com/ (last visited March 18, 2025)
[ii] Joel Embiid Injuries, Fox Sports, https://www.foxsports.com/ (last visited March 18, 2025)
[iii] Sixers Plan to Win an NBA Title, Wall Street Journal, https://www.wsj.com/ (last visited March 17, 2025)
[iv] Id.
[v] Id.
[vi] NBA Has a Missing Stars Problem, Yahoo Sports, https://sports.yahoo.com/ (last visited March 18, 2025)
[vii] Id.
[viii] Id.
[ix] Id.
[x] Embiid Catastrophic Injury Provision, ESPN, https://www.espn.com/ (last visited March 18, 2025)
[xi] Id.
[xii] Id.
[xiii] Id.
[xiv] Embiid Player Log, ESPN, https://www.espn.com/ (last visited March 18, 2025)
[xv] Embiid Supermax Extension, ESPN, https://www.espn.com/ (last visited March 18, 2025)
[xvi] Embiid Extension Contract, The Athletic, https://www.nytimes.com/athletic/ (last visited March 18, 2025)
[xvii] Zion Williamson Debut Anniversary, The Athletic, https://www.nytimes.com/athletic/ (last visited March 18, 2025)
[xviii] 76ers Can Pursue Medical Retirement, MSN, https://www.msn.com/ (last visited March 18, 2025)
[xix] How 76ers Can File for Medical Retirement, The Playoffs, https://theplayoffs.news/en/ (last visited March 18, 2025)
[xx] Id.
[xxi] Id.
[xxii] Chris Bosh Career-Ending Illness, Bleacher Report, https://bleacherreport.com/ (last visited March 17, 2025)
[xxiii] Why Did Chris Bosh Retire, The Sporting News, https://bleacherreport.com/ (last visited March 17, 2025)
[xxiv] Chris Bosh Received Twice Monthly Payments, Yahoo Finance, https://finance.yahoo.com/ (last visited March 17, 2025)
[xxv] How 76ers Can File for Medical Retirement, The Playoffs, https://theplayoffs.news/en/ (last visited March 18, 2025)
[xxvi] How Sports Are Insured, Insurance Thought Leadership, https://www.insurancethoughtleadership.com/ (last visited March 17, 2025)
[xxvii] How 76ers Can File for Medical Retirement, The Playoffs, https://theplayoffs.news/en/ (last visited March 18, 2025)
[xxviii] Chris Bosh Isn't Going Away Quietly, SB Nation, https://www.sbnation.com/ (last visited March 18, 2025)