The Baltimore Ravenstriggered an automatic restructure of Lamar Jackson’s contract after failing to reach a long-term extension before the 2026 league year. G.M. Eric DeCosta explained during a Wednesday press conference that the team and Jackson “kind of ran out of time” to finalize a new deal.
While the move creates much-needed breathing room for the current season, it highlights a recurring communication struggle within the organization.
Trey Hendrickson Ravens
Nov 16, 2023; Baltimore, Maryland, USA; Cincinnati Bengals defensive end Trey Hendrickson (91) sacks Baltimore Ravens quarterback Lamar Jackson (8) in the first quarter at M&T Bank Stadium. Mandatory Credit: Sam Greene-USA TODAY Sports
Negotiations with Jackson are complicated because he represents himself without an NFLPA-certified agent. Details from a 2025 hearing into collusion showed that talks were paused after Jackson said his phone’s microphone was not working.
This situation, without a professional mediator, is raising concerns about the team’s ability to retain its star quarterback before he can sign with other teams.
Owner Steve Bisciotti made his stance clear in January, stating he wanted a new pact settled early to avoid the urgency of free agency. “The urgency of that matters to me because we’ve got free agents, and I don’t want to go into free agency with that hanging over our head,” Bisciottisaid.
Despite the owner’s desire to simply “plug in your number” into the existing contract structure, the deadline passed, forcing the team to pivot to a financial workaround.
Jackson currently sits at 10 on the quarterback APY list, a significant drop for a 2-time MVP. The lack of a timely extension has already impacted the roster, as Baltimore watched several key starters depart for other teams during the opening week of free agency.
DeCosta remains optimistic about the future, though the clock is now ticking toward 2027, when Jackson’s massive cap hit could become a major hurdle.
“Certainly hopeful that we’ll get an extension done,” DeCosta said regarding the ongoing situation. “I think it’s important to both parties. But we remain to see what’s gonna take place in the future.”
If no deal is signed, Jackson will enter the final stretch toward unrestricted free agency, as his current contract includes a no-tag clause.
Lamar Jackson contract restructure shakes up Ravens offseason
The Ravens converted $49.5M of Jackson’s base salary into a signing bonus to reduce his 2026 cap hit from $74.5M to $34.54M. This maneuver was necessary to fit the 4-year, $112M contract for pass rusher Trey Hendrickson under the cap.
However, the move caused Jackson’s 2027 cap hit to soar to $84.49M, adding immense pressure to future negotiations.
The financial constraints led to significant departures, including center Tyler Linderbaum, who signed a 3-year, $81M deal with the Las Vegas Raiders. Tight end Isaiah Likely and fullback Patrick Ricard both left to join the New York Giants on multi-year contracts.
These losses leave the Ravens with critical holes to fill as they attempt to maintain their championship window around Jackson.