Derek Dooley laughs off resignation rumor (with complete video of exchange)

KNOXVILLE, Tennessee — Why is Derek Dooley talking about rumors that he almost resigned at the end of LAST season?
Well, I don’t really have a good answer for that, but here’s the background.
A report on MrSEC said that Dooley offered to resign after last season’s loss to Kentucky provided Tennessee paid his full $5 million buyout.

Dooley was asked about the report, and his response (as you can see in the video) was incredulous. 

“That’s absurd,” he said.
(He then launched into an anecdote about his high school coach).
John Pennington is credited with the report on the website. He posted a follow-up story this afternoon.
My thoughts: On the surface, any notion that Dooley was offering his resignation after only his second season is quite intriguing. But the details are confusing. What exactly is Dooley “offering” in this scenario? It sounds like he’s merely saying that Tennessee must fulfill its contractual obligations if it plans to let him go. How is that a negotiation? How is that an offer? And what possible incentive would Dooley have to accept anything less than what is required in his contract — whether last year, this year or next year?
With an 0-4 SEC record and a trip to South Carolina as 14-point underdogs, Dooley and the Vols have plenty to worry about right now. 
“That’s where we are,” Dooley said Monday. “It’s not a fun place to be, but the beauty of athletics is you have next week.”