The Mavericks will use their $2.7 million exception to sign Nelson, a source said. The Orlando Magic waived Nelson on June 30 after he spent 10 seasons with the franchise. He averaged 12.1 points, 7.0 assists and 3.4 rebounds last season.
Felton is expected to receive a fine and possible suspension by the NBA after he pleaded guilty Wednesday to attempted criminal possession of a weapon and criminal possession of a firearm. He will not receive jail time under the deal.
ESPN.com first reported the Mavericks were finalizing a contract with Nelson.
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