The Memphis Grizzlies have established a new NBA financial benchmark, creating a record-breaking $28.8 million trade exception as part of a blockbuster deal that sent All-Star forward Jaren Jackson Jr. to the Utah Jazz on Tuesday.
The transaction, first reported by ESPN and later confirmed by league sources, marks a pivot point for a Memphis franchise prioritizing long-term flexibility over its current veteran core.
The $28.8 million trade exception (TPE) is the largest in NBA history, surpassing the $28.5 million mark set by the Boston Celtics in 2020 following Gordon Hayward’s departure to Charlotte. The exception gives Memphis a one-year window to acquire players via trade without having to send back matching salaries, a tool often used by rebuilding teams to extract further draft capital from rivals looking to shed payroll.
In exchange for Jackson, John Konchar, Jock Landale, and Vince Williams Jr., the Grizzlies received a haul centered on youth and future assets. Heading to Memphis are Walter Clayton Jr., Taylor Hendricks, Georges Niang, and veteran Kyle Anderson, who returns for a second stint with the franchise.
Crucially, Memphis also secured three future first-round draft picks, further replenishing a chest of assets that front office lead Zach Kleiman has aggressively sought to expand during a turbulent 2025-26 season.
Jackson, the 2023 Defensive Player of the Year, leaves Memphis as one of the most decorated players in franchise history. Despite the Grizzlies’ struggles this season, the 26-year-old has maintained productive averages of 19.2 points, 5.8 rebounds, and 1.5 blocks per game while shooting 47.5% from the floor.
For Utah, the move signals a desire to capitalize on their current competitive window. By pairing Jackson with Lauri Markkanen, the Jazz form one of the league’s most versatile frontcourts, blending elite rim protection with floor-spacing capability.
The trade comes amid a difficult stretch for the Grizzlies (19-29), who have slipped down the Western Conference standings. The departure of Jackson, a cornerstone of the team’s “Grit and Grind” reimagining, suggests a full-scale recalibration around their youngest prospects.
Memphis will have until February 2027 to utilize the record-breaking trade exception.
