Originally posted by Ken1
To allow them to sign players before playoff teams can would definitely give them too much of an advantage in getting talent for the following season. I had almost posted that if they can ONLY release them that would be fine, but I realized that then they save money by not paying out their contract and the players they release can't train (although for the latter part the "You have to be on a team during the season to train" rule could be amended to only include the regular season; but teams can't be allowed to save the money by cutting them before their contracts expire).
+1 to the OP
This is completely wrong. Teams aren't going to have much of an advantage really, because the better players aren't going to just sign with a team because they are out of the playoffs and able to sign them, probably the exact opposite. The better players won't sign with them because they AREN'T in the playoffs, so very little advantage.
The deal with releasing players can easily be handled by a requirement that the remaining full salary be paid for the rest of the season at the time of cut. You could also put in a player approval option so teams couldn't just cut guys which would satisfy Dr. E concern.