Texans Opt to Amend Stefon Diggs’ Contract, Ending Three-Year Extension

A day after trading for Stefon Diggs, the Texans are proposing a curious contract change for the Pro Bowl wide receiver. 

Diggs’ contract with the Bills was supposed to last until 2027, however that is no longer true.

ESPN.com’s Adam Schefter says that the Texans are deleting the 2025, 2026, and 2027 seasons from their contract. Diggs is expected to be a free agent in 2025.

The Texans shifted $3.5 million in 2025 guarantees through 2024, bringing the total to $22.52 million.

teams do not typically cede contractual power, so canceling three years of a high-profile player’s contract is an unusual event.

Texans Motivate Diggs for 2024, Face Risk of Losing Star

The Texans will undoubtedly motivate Diggs to excel in 2024, since he will be eligible for a fourth deal next year. 

However, they now face the prospect of losing the six-time 1,000-yard receiver after only one season.

Houston, however, has exclusive negotiation rights with Diggs until March 2025. 

The parties could strike another deal. Unless something is already in place, the team has added an unneeded risk to the equation.

The Bears did not change Keenan Allen’s contract after dealing for the longtime Chargers wide receiver, who prompted attention from the Texans.

 While clubs have executed trade-and-extend moves for wideouts in recent years — Tyreek Hill, A.J. Brown, and Davante Adams all received new contracts after being traded in 2022 — those players all had one season left on their previous contracts or, in Adams’ case, were franchised.

Diggs was signed to a four-year, $96 million contract with four remaining years, distinguishing this selection from the early-2020s calls.

When the Bills acquired Diggs from the Vikings in 2020, he remained on his Minnesota contract — a $14.4 million per year agreement that stretched through the 2024 season — for his first two Buffalo seasons. 

The Bills and Diggs huddled over the $24 million-per-year contract in 2022, with the extension years just about to begin.

Texans’ Contract Decision Impacts Diggs’ Free Agency Fate

Diggs, 30, now has an unexpected opportunity to become a first-time free agent next season.

At the time of the transaction Wednesday morning, the Texans appear to have Diggs’ $24 million-AAV contract aligned with C.J. Stroud’s remaining rookie-deal seasons. Stroud must be retained on a rookie contract until at least 2025.

The Texans could easily opt out of Diggs’ contract after the 2024 season. 

While deleting these years could rekindle Diggs, who had a low-wattage finish to his 2023 season, a rebound season would also increase his worth heading into free agency.

That would work against Houston, even if Stroud is a solid attraction for the nine-year veteran.As of now, the Texans look to be optimistic in their ability to keep Diggs beyond 2024. If not, they sent a second-round pick acquired by the Vikings to Buffalo for one year of Diggs, who will turn 31 in November.