Here are the rest of the requirements that got lost in my copy and paste:
A sign-and-trade deal can be made with a free agent who has been renounced (see question number
39), as long as all the above criteria are met. Sign-and-trade contracts must be for at least three seasons (not including any option year) and no longer than four seasons3. The first year of the contract must be fully guaranteed, but the remaining seasons can be non-guaranteed. The combination of a three-year minimum with a one-year guarantee ensures that the player's new team cannot acquire the player's Bird rights any sooner than if they had signed him directly (if they wanted to re-sign him in less than three years they would first have to waive him, and lose any Bird rights -- see question number
32).
A Designated Veteran contract cannot be used in a sign-and-trade.
The starting salary in a contract signed for a sign-and-trade may be any amount up to the player's maximum, however if the player meets the 5th Year 30% Max criteria (see question number
24) he cannot receive a salary greater than 25% of the cap. Raises are limited to 5%. The player also may be considered to have a lower outgoing salary for trade purposes, which can complicate the trade (see question number
93).
If a sign-and-trade contract contains a signing bonus, then either team can pay it. By default the team that signs the player pays the signing bonus (as with any other contract), but since a sign-and-trade is in essence a contract with the receiving team, the teams can agree that the receiving team will pay it. Any portion that is paid by the signing team counts toward the team's annual limit for cash included in a trade (see question number
98), which in effect limits the portion of the signing bonus that can be paid by the signing team.
If a sign-and-trade contract contains a trade bonus, then the bonus is not earned upon the trade that accompanies the signing, but rather on the first subsequent trade. See question number
96 for more information on how long a team must wait before they can trade a player.
If a team acquires a player in a sign-and-trade, then the Apron effectively becomes a hard cap for the remainder of that season. See question number
20 for details.
1 These teams are free to send players to other teams in sign-and-trade transactions, or to receive players in sign-and-trade transactions who weren't signed-and-traded themselves. Also, the restriction applies only to the sign-and-trade transaction itself -- teams are free to acquire players who had been signed-and-traded in earlier transactions.
2 A different team salary definition is used for determining whether a team is above or below the apron -- see question number
13 for details.
3 Since the contract must be for at least three seasons, the receiving team cannot use the Disabled Player exception to acquire the player. The Disabled Player exception can only be used to acquire players with one season on their contracts (see question number
25).