Before signing the extension, Doncic had a player option for the 2026-27 season and could have hit free agency next summer.

BREAKING: Luka Dončić has signed a three-year, $165 million contract extension with the Lakers, @TheSteinLine has learned. The deal contains a player option for Year 3. Dončić worked out at the team facility this AM then inked the new deal on the first day he's eligible for it. pic.twitter.com/OpzBLt1Veq

Luka Dončić has agreed to a three-year, $165 million maximum contract extension with the Los Angeles Lakers, bypassing a chance at free agency next summer to build a long-term future with his new team. The deal keeps Dončić with Los Angeles through 2028. The Slovenian superstar had a player option for the 2026-27 season under his previous contract.