Sports contracts often make headlines for their eye-popping figures. Fans eagerly follow the latest signings, hoping their favorite teams land top talent. But not all big-money deals pan out as expected.
Some of the most expensive sports contracts have ended up as costly mistakes. You might be surprised to learn about star players who failed to live up to their massive paychecks.
These flops serve as cautionary tales for teams and fans alike. Let’s look at some of the biggest budget blunders in sports history.
1. Alex Rodriguez (New York Yankees) – $275 million
Alex Rodriguez’s $275 million contract with the New York Yankees is one of baseball’s most expensive deals. The Yankees signed A-Rod to this massive 10-year agreement in 2007.
At the time, Rodriguez was coming off an MVP season. The Yankees hoped he would continue his stellar performance and help them win championships. But things didn’t go as planned.
While A-Rod had some excellent years early on, his production declined sharply in the latter half of the contract. Injuries and controversies plagued him, including a suspension for using performance-enhancing drugs.
By 2016, the Yankees released Rodriguez, who still owed over $27 million on his contract. He retired shortly after, ending a career short of expectations given the enormous price tag.
The deal is a cautionary tale about the risks of long-term, big-money contracts for aging players. It shows how even the most talented athletes struggle to maintain peak performance as they age.
For the Yankees, A-Rod’s contract became a financial burden that limited their flexibility to sign other players. It’s now seen as one of the most expensive missteps in baseball history.
2. Albert Pujols (Los Angeles Angels) – $240 million
Albert Pujols signed a massive 10-year, $240 million contract with the Los Angeles Angels 2011. At the time, it was an excellent move for the team. Pujols was coming off an incredible run with the St. Louis Cardinals.
But things didn’t go as planned. Pujols struggled to live up to his hefty price tag. His batting average and power numbers declined sharply after joining the Angels.
The team hoped Pujols would help them win championships. Instead, they only made the playoffs once during his tenure. His declining performance became a burden on the team’s payroll and lineup.
By 2021, the Angels decided to cut ties with Pujols. They released him with almost $30 million still owed on his contract. It was a disappointing end to what was supposed to be a franchise-altering signing.
You can see how risky long-term deals can be for aging players. Even stars like Pujols can decline quickly. The Angels learned this lesson the hard way, stuck with an expensive contract that didn’t pay off.
4. Jacoby Ellsbury (New York Yankees) – $153 million
Jacoby Ellsbury’s deal with the Yankees is a prime example of a big-budget flop. In December 2013, the Yankees signed him to a seven-year, $153 million contract.
At first, things looked promising. Ellsbury had a strong 2014 season, hitting .271 with 16 home runs and 39 stolen bases.
But that’s where the good news ends. Injuries plagued Ellsbury’s time with the Yankees. He missed entire seasons and struggled to stay on the field.
The Yankees got very little return on their massive investment. Ellsbury’s performance declined sharply when he did play.
In 2019, the Yankees finally cut their losses. They released Ellsbury despite still owing him $26 million for the final year of his contract.
You might wonder how such a promising signing went so wrong. Ellsbury’s injury history and age at the time of signing (30) were red flags the Yankees ignored.
The Ellsbury deal is a cautionary tale for teams considering long, expensive contracts for players entering their 30s. It shows how quickly a significant investment can turn into a financial burden.
6. Sam Bradford (St. Louis Rams) – $78 million
Sam Bradford’s contract with the St. Louis Rams is a prime example of a big-budget sports deal gone wrong. In 2010, the Rams selected Bradford as the first overall pick in the NFL Draft.
The team signed him to a massive six-year, $78 million contract. This deal included $50 million in guaranteed money, setting a new record for the most guaranteed cash in NFL history at the time.
Bradford’s rookie contract was signed before the NFL implemented new rules to limit rookie salaries. The Rams took a massive risk by investing so much in an unproven player.
Unfortunately, Bradford’s NFL career didn’t live up to the hype. He struggled with injuries and inconsistent play during his time with the Rams.
Over six seasons, Bradford only played in 49 games for the team. His performance was mediocre, with a record of 18-30-1 as a starter.
The Rams eventually traded Bradford to the Philadelphia Eagles in 2015. This move marked the end of their expensive gamble on the quarterback.
Bradford’s massive contract is now seen as a cautionary tale. It shows the dangers of giving huge deals to rookie players before they prove themselves in the NFL.
7. Rick DiPietro (New York Islanders) – $67.5 million
Rick DiPietro’s contract with the New York Islanders is one of the most infamous in NHL history. 2006, the team signed him to a massive 15-year, $67.5 million deal.
At the time, DiPietro was a promising young goaltender. The Islanders believed he would be their franchise player for years to come. They took a significant risk with such a long-term commitment.
Sadly, things didn’t work out as planned. DiPietro struggled with injuries throughout his career. He only played more than 50 games twice after signing the contract.
The Islanders bought out the final eight years of DiPietro’s deal in 2013. This meant they would continue paying him until 2029, long after his playing days were over.
DiPietro played just 318 games for the Islanders over his career. His record was 130-136-8-28. While not terrible, it wasn’t what the team hoped for when they made such a huge investment.
DiPietro’s contract is a cautionary tale about the risks of long-term sports deals. Injuries and declining performance can quickly turn a promising signing into a costly mistake.
8. Gilbert Arenas (Washington Wizards) – $111 million
Gilbert Arenas signed a massive $111 million contract with the Washington Wizards in 2008. At the time, he was seen as a rising star in the NBA.
The Wizards hoped Arenas would lead their team to success. He had shown great potential, winning the Most Improved Player award earlier in his career.
But things didn’t go as planned. Injuries began to plague Arenas, limiting his time on the court. He played only 13 games in the 2007–2008 season.
The Wizards still believed in Arenas. They offered him a massive contract to keep him with the team. It was a significant risk that didn’t pay off.
Arenas never returned to his previous form. His performance declined, and he faced off-court issues. The Wizards ended up trading him to Orlando in 2010.
The contract became a burden for the team. They were paying a lot for a player who wasn’t contributing much. It’s a prime example of a big contract gone wrong.
You might wonder why teams take such risks. Sometimes, the potential reward seems worth it. But Arenas’s case didn’t work out for the Wizards.
9. Josh Hamilton (Los Angeles Angels) – $125 million
Josh Hamilton’s move to the Los Angeles Angels in 2012 was a big deal. You might remember the buzz when he signed a five-year, $125 million contract. It was a massive investment for the Angels.
Hamilton had been a star with the Texas Rangers. He was known for his powerful hitting and impressive skills in the outfield. The Angels hoped he would bring that same magic to their team.
But things didn’t go as planned. Hamilton struggled with injuries and personal issues. His performance on the field wasn’t what the Angels expected.
In his first season with the Angels, Hamilton’s stats dropped. He hit fewer home runs and had a lower batting average than in previous years. Fans and the team were disappointed.
The following two seasons didn’t get much better. Hamilton missed a lot of games due to injuries. When he did play, he wasn’t the same player who had wowed everyone in Texas.
In 2015, things took a turn. Hamilton had a relapse into substance abuse. This led to a conflict with the Angels’ management. The team decided to trade him back to the Rangers.
The Angels ended up paying most of Hamilton’s remaining salary. They got very little in return for their $125 million investment. It’s a reminder that even big contracts can be risky in sports.
10. Jayson Werth (Washington Nationals) – $126 million
In 2010, the Washington Nationals splashed free agency by signing outfielder Jayson Werth to a massive seven-year, $126 million contract. This deal shocked the baseball world due to its size and length for a 31-year-old player.
Werth had been vital to the Philadelphia Phillies’ success, including their 2008 World Series win. The Nationals hoped he would bring that winning pedigree to their struggling franchise.
At first, Werth’s performance didn’t match his hefty price tag. He hit just .232 in his first season with Washington, well below expectations. His power numbers also dropped significantly from his time in Philadelphia.
While Werth’s play improved in later years, injuries began to take their toll. He missed large chunks of several seasons, reducing his impact and value to the team.
By the end of the contract in 2017, Werth was no longer an everyday player. His final season saw him hit just .226 in 70 games before retiring. The Nationals had paid top dollar for declining production as Werth aged through his 30s.
Impact of Big Budget Flops
When big sports contracts fail to deliver, it can cause significant problems. Teams and fans alike feel the effects when a highly-paid athlete underperforms.
Financial Repercussions for Teams
Big budget flops can hurt a team’s finances badly. You might see teams stuck paying enormous salaries for players who aren’t producing. This limits their ability to sign other talent. Some teams pay luxury taxes on top of the player’s salary.
In extreme cases, teams may try to trade or release the player. But they often still have to pay some or all of the remaining contract. This dead money can cripple a team’s budget for years.
Fan and Media Reactions
Fans get angry when a big contract player flops. You’ll see booing at games and harsh comments online. Ticket and merchandise sales may drop if fans lose faith in the team.
Media coverage turns negative fast. Sports talk shows and writers criticize the player and team management. This lousy press can damage the team’s and player’s reputations.
Some fans may stop watching games if they feel the team wasted money. Lower TV ratings can impact future broadcast deals. The fallout from a big-budget flop often goes far beyond just one player’s performance on the field.
Case Studies of Major Sports Contracts Gone Wrong
Sports teams sometimes spend big money on players who don’t live up to expectations. These deals can hurt both the team and the athlete. Let’s look at some famous examples and their effects.
Factors Contributing to the Failures
Injuries often derail big contracts. A player may get hurt and never regain their top form. Age is another issue. Teams sometimes give long deals to older stars who decline faster than expected.
Poor fit with a new team can also cause problems. A player might struggle to adapt to a different system or city. Some athletes lose motivation after getting a huge payday.
Unrealistic expectations play a role, too. Teams may overpay based on a player’s peak performance, which proves impossible to maintain.
Long-term Consequences for Athletes
Failed contracts can damage a player’s reputation and future earning power. You might see stars labeled as “busts” or “overpaid.” This makes it harder to get good deals later in their careers.
Some athletes face mental health challenges after not living up to a big contract. The pressure and criticism can be intense. Financial issues can also arise if players don’t manage their money well.
On the flip side, some athletes still come out ahead financially. Even if they underperform, they keep the guaranteed money from their deal. This can set them up for life if appropriately managed.
Summary
Big-budget sports flops serve as cautionary tales for teams and fans alike. Despite the excitement surrounding high-profile signings, not all expensive contracts yield the desired results.
Players like Alex Rodriguez, Albert Pujols, and Sam Bradford highlight the risks associated with long-term, high-value deals, often plagued by injuries, declining performance, and off-field issues. These costly mistakes can burden teams financially, limit their ability to acquire new talent and disappoint fans.
As such, these examples underscore the importance of careful evaluation and realistic expectations when investing in star athletes. While big contracts can bring short-term excitement, their long-term impact can significantly influence the team’s success and financial stability.
