Woodson signed his one-year, $10.5 million franchise tender, which creates major cap problems for the Raiders. The Raiders are $15.7 million over the $85.5 million salary cap, not counting the Jerry Porter contract and the future acquisition of wide receiver Randy Moss, who has a $7.25 million salary.
Woodson's agent, Carl Poston, likely made the move because of the Raiders' cap issues and decided to not risk the chance of having the franchise tag pulled before he had a chance to sign it. Poston was in Indianapolis for the scouting combine and walked over to the Raiders hotel with a signed tender offer.
By signing it, the $10.5 million is guaranteed. He submitted copies to the league and the NFL Management Council.
Poston said the Raiders were surprised when they saw the signed contract. There was talk of having the franchise tag revoked or the possibility of having a trade.
The signing of Porter freed the club to designate the four-time Pro Bowl cornerback as its franchise player again.
Raiders coach Norv Turner sounded like a man expecting to see Woodson on his roster in a statement about the cornerback earlier in the week.
"We're pleased to retain the services of Charles Woodson,"
John Clayton is a senior writer for ESPN.com. Information from ESPN.com senior NFL writer Len Pasquarelli and The Associated Press was used in this report