Damian Lillard, a nine-time NBA All-Star who was recently dismissed by the Milwaukee Bucks, is completing a three-year, $42 million contract to rejoin the Portland Trail Blazers, where he played his first 11 seasons of professional basketball, ESPN reported, citing sources.. The agreement, which is a homecoming for the franchise icon, is said to have a no-trade clause and a player option in 2027–2028.

According to reports, Lillard's three-year, $42 million contract contains a no-trade clause and a player option for 2027–2028, giving him control over his future. Compared to his $63 million Bucks contract, the contract averages $14 million per year, which is a substantial decrease.

Lillard spoke with coach Chauncey Billups and general manager Joe Cronin on several occasions, according to ESPN. The 35-year-old and the Trail Blazers are excited about the reunion, according to Shams Charania. In order to sign Myles Turner, the Bucks extended Lillard's $113 million contract by waiving him in early July. Due to his Achilles injury sustained in Game 4 of the Bucks' playoff loss to the Pacers in April 2025, Lillard will not be able to play until the 2025–2026 season since he needs to recover.

“This is an opportunity for Damian to stay home to continue his rehabilitation, take time to decide where he wants to play next, while still being paid his entire contract,” Lillard's agent, Aaron Goodwin, had said back then.

Nine-time NBA All-Star Damian Lillard has averaged 25.1 points, 6.7 assists, and 4.3 rebounds in 900 regular-season games while playing for the Portland Trail Blazers and Milwaukee Bucks over 13 seasons. In addition to holding team records for 3-pointers and points, he guided Portland to eight postseason trips, including the Western Conference Finals in 2018–19.