There is a chance that LeBron James will opt out of his contract with the Los Angeles Lakers. Several factors could shape his decision. The 40-year-old star is on a two-year, $104 million contract that includes a player option for the 2025-26 season. The deadline for his $52.6 million player option is Sunday, and those close to the four-time NBA champion are unsure of his plans.
LeBron James contract options explained: With deadline looming, Lakers star can stay for $52.6M, but will he?
Sam Quinn
James remained efficient this season as one of the league’s top players, averaging 24.4 points, 8.2 assists and 7.8 rebounds per game. Since winning a title with the Lakers to end the 2019-20 season in the bubble, James suffered first-round exits three of his last four trips to the postseason.
James can either accept the player option and stay with the Lakers on his deal or opt out, become a free agent and re-sign on a longer contract or with another franchise. James has time to make his decision, however. The deadline on his player option does not expire until June 29.
1. Retire or continue playing
Rich Paul said he has “no idea” what his signature client’s next move is, but doesn’t think the physical end of the equation will factor into James’ choice. James tweaked his knee earlier this month during Los Angeles’ final game in the postseason and is recovering. James turns 41 in the middle of next season and said after the Lakers’ playoff loss to Minnesota that he would sit down with his family and support group before deciding on his 2025-26 plans. There is the family nugget here, too. James already played with Bronny James with the Lakers. His other son, Bryce James, becomes draft eligible after this upcoming season.
2. Does LeBron believe Lakers are equipped to win?
When you pull off a stunning blockbuster trade like the Luka Dončić-for-Anthony Davis deal, it’s obvious the team’s front office knows James won’t be the main attraction in the years to come. Los Angeles is building for the future with a new franchise player, who can become a free agent in 2026 if a mega extension is not reached this summer. For now, the Lakers’ projected lineup next season with James and Doncic includes Austin Reaves, Rui Hachmura and Jaxson Hayes. That’s playoff-worthy, but will not necessarily scare Minnesota or Oklahoma City, among other title threats in the Western Conference.
3. ‘Frosty’ relationship in L.A. may alter mindset
Los Angeles desperately needed a big man in its playoff series loss to the Timberwolves, after which James called out the Lakers’ staff — by not saying much at all — for playing without a center in the decisive Game 5 under first-year coach JJ Redick. Hayes started the previous four games at the position, but did not play in the finale, and Los Angeles was cooked in the paint as a result by Rudy Gobert‘s monstrous 27-point, 24-rebound performance.
“No comment,” James said. “I never say that, but my guy (Anthony Davis) said what he needed and he was gone the following week. I got no comment. I put that uniform on every night, give everything I have and that’s all that matters.”
James’ distrust of some of the franchise’s decisions is well-documented and seems to be gaining steam.
“It hasn’t always been the warmest [relationship] over the past couple years,” The Athletic‘s Jovan Buha said on a recent podcast after revealing he wouldn’t be surprised if James left Los Angeles.
4. Back to the East, why not Cleveland?
It’s a pipe dream of sorts for one of the Eastern Conference’s top teams, but James already returned home once to a hero’s welcome and could always go back to Cleveland to play out his final stretch. During his previous tenure with the Cavaliers and his memorable stint in Miami, James dominated the postseason in the East and was an annual mainstay in the NBA Finals. If ring-chasing is deemed most important approaching next season, the Cavaliers offer that opportunity — albeit at a contract discount with no guarantees.
5. Time running out on the LeBron-Steph Curry co-op
James has the reputation of being a super-teamer, so it’s not out of the question that he would be interested in joining the Golden State Warriors and playing alongside Curry. They won a gold medal together in the 2024 Paris Olympics and starred in the All-Star Game, but the dream scenario for both may not ever come to fruition. The Warriors attempted to trade for the four-time NBA champion at last year’s deadline, but James reportedly told the Lakers he wanted to remain on the team. There’s the cap issue, too, and James would need to take a pay cut.
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