A restricted free agent, Dellavedova is seeking a multiyear deal starting at $4 million per season, per a source, and the Cavs have balked, largely due to the enormous luxury tax implications that come with that type of contract. The [point guard] market has largely dried up—Jeremy Lin’s deal with Charlotte closed a potential door—so it will be interesting to see how long this stalemate continues.
The Cavs have offered Dellavedova a qualifying offer worth nearly $1.2 million. He’s free to sign with another team, though the Cavs can match any offer he receives. He could also sign a longer-term deal with the Cavs, but it sounds as though little progress has been made on that front. If he can’t secure a better contract, he can accept the qualifying offer and become an unrestricted free agent after next season.
Dellavedova had some major moments in the NBA playoffs, including 19 points in a closeout win over the Chicago Bulls in the Eastern Conference Semifinals and 20 points in Game 3 of the Finals against the Golden State Warriors, but he’s still a rather limited player. The Cavs would like to keep the plucky Aussie in the fold, but they also brought in Mo Williams as backup point guard insurance.
Unless another team offers Dellavedova a contract, it will be tough for him to force the Cavs’ hand. Without another suitor, he has no real leverage, so the Cavs may be content to wait this one out in hopes that Delly takes the qualifying offer.