Decision 3.0: LeBron opts out of contract according to sources

James' agent Rich Paul also represents Cavs restricted free agent Tristan Thompson. Paul has made it known his first priority in free agency will be getting Thompson a deal. After a strong postseason, Thompson is expected to command a contract worth more than $13 million per year. The Cavs have full matching rights and intend to re-sign Thompson.

James is also likely to see how Kevin Love's free agency plays out before finalizing a deal. The Cavs are confident they will be able to re-sign Love and have been since they traded for him in August. Though they cannot formally make an offer until Wednesday, sources say that the Cavs for months have planned to extend a five-year, maximum contract for Love in excess of $110 million despite his shoulder and back injuries last season.

Love may speak to other teams next week, but there is a growing belief across the league that he will back up statements made throughout the season and return to the Cavs. Several sources close to Love have indicated he is likely to stay in Cleveland.

No, I didn't write this.

Maybe he'll take the bullet and sign for less for a year. Should pay out in the long term.

I really don't see any other reason for him to opt out.

He's going to sign another one year + option deal to get a slight salary bump. Opting out lets the Cavs play the books a bit differently than if he just opted in.

Perhaps he'll take one year deals (or continue to opt out) until the Cavs have his Bird Rights, then go for a huge payday once the new TV deal kicks in.