Luka Dončić has officially signed a three-year, $165 million extension with the Los Angeles Lakers, a deal that incorporates a player option in the final year. While Dončić had the potential to sign a more extensive four-year, $229 million contract, the decision to opt for a shorter-term arrangement appears strategically sound. As noted by NBA reporter Marc Stein, the player option for the 2028-29 season will afford Dončić the opportunity to enter free agency during the summer of 2028. This would position him to secure a five-year contract potentially exceeding $400 million.

The implications of this deal signify that a second contract with the Lakers could surpass the initial expectations of a five-year supermax deal valued at around $340 million, which Dončić was projected to sign with the Dallas Mavericks this summer. Furthermore, he may be eligible for a full no-trade clause in his subsequent contract should he transition to unrestricted free agency and sign a new agreement. ESPN's Dave McMenamin has projected that if Dončić opts out of the 2028-29 player option, he could sign a five-year extension worth approximately $418 million, a transformative figure that could make him the first player in NBA history to earn an $80 million season salary, which translates to nearly $1 million per game.

The final year of the potential new contract could approach an astonishing $95 million, illustrating his pivotal role as a key figure within a $10 billion franchise. Regarding the no-trade clause eligibility, Stein emphasizes that players can only incorporate such clauses after completing eight years of service time and playing four consecutive seasons for a single franchise. Although Dončić would likely complete around 3.5 seasons with the Lakers by the time he signs his theoretical five-year deal, sources have indicated that he would be recognized as having completed four consecutive seasons in Los Angeles by that point. The landscape of the NBA can change rapidly in three years, and factors such as player performance and health could impact Dončić's tenure with the Lakers. However, if he continues along his current trajectory, the importance of retaining him through a lucrative contract, possibly coupled with a no-trade clause, will be paramount for the franchise.