I honestly believe that all coaches should have this type of buyout in the contract if it's signed long term.  Otherwise, it's not really a long term contract, but rather a year to year agreement.  It also stops coaches, such as Murphy, from jumping ship right before the season.  I know it's a catch 22, because it's hardly fair to stop a guy from advancing his career, but it is also more fair to the school if the coach knows there's a buyout to leave early.  I'm a little surprised that there's a buyout to leave for the NBA, rather than one to leave for another potentially rival school. 

Having received a degree from Cincy, I'm also a pretty big Bearcats fan.  That being said, after watching the football dream season of 2009 end the way it did can't help but make me bitter and jaded on this topic.  Are buyouts a good thing or bad thing?  Really, they're neither.  They're merely a contractual term knowingly negotiated by both parties.  Like all contracts, someone assumes risk.  However, I do wish there was a moratorium period regulating when coaches could leave, which would prevent the EMU situation (or a situation where your coach leaves during the school's best season in history on the eve of a fricking BCS bowl).

Back load the contracts and offer both a short term and a long term option that favors the long term. example-


Short Term Option-
- 2 year deal valued at $500K ($250K/yr average if contract is fulfilled)
- Payout for year one- $150K
- Payout for year two- $350K

Long Term Option-
- 5 year deal valued at $1.5M ($300K/yr average if contract is fulfilled)
- Pay out for years one though three- $200K/yr
- Payout for year four- $400K
- Payout for year five- $500K

If the employer decides to terminate the contract he must repay the employee the difference for the time worked. For example, the long term option is valued at $300K/yr, if the contracted is ended after 3 years the employee has already received $200K/yr they will then be paid the $100K/yr difference.

However, if the employee decides to leave after 3 years he walks away having only earned $200K/yr and will not be compensated any further. This might make a coach less likely to bail right after making a long term commitment if there's money left on the table.

This way both sides are rewarded for loyalty.