Pavlovic's agent, Marc Cornstein, confirmed the deal but declined to discuss financial terms.

After a summer-long stalemate extended through the Cavaliers' preseason, Cornstein said talks picked up over the last couple days with major concessions made by both sides.

"There was a little sense of urgency with opening night being tomorrow," he said. "From Sasha's side, it really bothered him being at home, not being with his teammates."

Cavaliers spokesman Tad Carper declined to comment on the deal.

Pavlovic was in Serbia today. He was expected to be back in Cleveland tomorrow before the Cavaliers' opener against the Dallas Mavericks, but he was not expected to play, Cornstein said.

Pavlovic emerged as an important contributor as the Cavaliers earned their first Eastern Conference championship last season, averaging 12.7 points in 28 starts.

His return gives the Cavaliers one of their missing pieces as they look to return to the NBA finals.

The team is still without restricted free agent forward Anderson Varejao, who remains at home in Brazil unsigned.

Cleveland went 1-6 in the preseason without Pavlovic and Varejao, and the team's inability to bring back the pair led forward LeBron James to declare last week: "We're worse."

Cavaliers general manager Danny Ferry recently went to Brazil to meet with Varejao, who is represented by agent Dan Fegan. Although no other teams offered the high-energy rebounder a contract, Varejao is seeking a deal worth $9 million per season.

The Cavaliers explored signing veteran forward Juwan Howard to provide some frontline help, but Howard agreed to terms with Dallas on Tuesday.

Pavlovic's signing comes after he turned down a $2.8 million qualifying offer from the Cavs and had threatened to play in Europe.

The agent said Pavlovic has been working out twice a day with a personal coach and will be ready to step in immediately with the Cavaliers.