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05-28-2010, 12:19 PM
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kdb209
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Quote:
Originally Posted by Call of the loonie View Post
Sorry to bump an old thread, but this thread is referenced in the stickied CBA FAQ thread.

I was hoping that someone could explain the status of the rookie bonus cushion for the upcoming season and beyond. It's my understanding that the CBA is extended on a year-by-year basis now which would effectively cancel the bonus cushion clause. Can anyone shed some light on this?
Basically, the Performance Bonus Cushion is not in effect in any League Year which could be the final year of the CBA - since there would be no defined "next year" to carry over any excess bonus amounts to.

From '05-'06 thru '07-'08 the Performance Bonus Cushion was in effect.

The NHLPA had an option to early terminate the CBA in Sept 2009 - because of that '08-'09 was treated as a final season and the Performance Bonus Cushion was not in effect.

In '09-'10 the Performance Bonus Cushion was in effect.

'10-'11 is the last year of the CBA, so the Performance Bonus Cushion will not be in effect - with one caveat.

The NHLPA has the option to extend the CBA for one year - through '11-'12. They must exercise that option by 120 days prior to Sept 15, 2011. If they exercise that option before the start of this season, then the Performance Bonus Cushion will be in effect this season, but would not be in effect in '11-'12. It is unclear what would happen if the NHLPA exercised the option during this season (the deadline is in May) - the Cushion would not be in effect before they exercised, and it might or might not go back into effect after. Based on what happened in '08-'09, I'm guessing it would not go into effect - although there are differences between the NHLPA's elections in '08-'09 and '10-'11 (a negitive election vs a positive one). In any case, the NHL & NHLPA could decide at that point how they wish to handle it - and go to the System Arbiter if there is a disagreement.

Note that this NHLPA option to extend is a one time option for '11-'12. They cannot extend it beyond that.

Quote:
Originally Posted by CBA Article 50.5(h)(iii)
(A) For the 2008-09 League Year, all of the above-described
Performance Bonuses that could be earned by the Players
under SPCs with a Club shall be counted against such
Club's Upper Limit for that League Year (with no
opportunity for the Clubs to "carry over" any charges to
their Upper Limit for the following League Year), unless
the NHLPA declines to terminate this Agreement as of
September 15, 2009, consistent with Section 3.1(b) of this
Agreement, in which case accounting for the abovedescribed
Performance Bonuses in the 2008-09 League
Year shall be treated as set forth in paragraph (ii) above.

(B) For the 2010-11 League Year, the above-described
Performance Bonuses that could be earned by the Players
under SPCs with a Club shall be counted against such
Club's Upper Limit for that League Year (with no
opportunity for the Clubs to "carry over" any charges to
their Upper Limit for the following League Year), unless
the NHLPA extends this Agreement for one additional year
to September 15, 2012, consistent with Section 3.1(b) of
this Agreement, in which case accounting for the abovedescribed
Performance Bonuses in the 2010-2011 League
Year shall be treated as set forth in paragraph (ii) above.

(C) If the NHLPA exercises its option to extend this Agreement
to September 15, 2012, consistent with Section 3.1(b) of
this Agreement, then for the 2011-12 League Year, all of
the above-described Performance Bonuses that could be
earned by the Players under SPCs with a Club shall be
counted against such Club's Upper Limit for that League
Year (with no opportunity for the Clubs to "carry over" any
charges to their Upper Limit for the following League
Year).
Now, after '10-'11 or '11-'12, the NHL & NHLPA have the option to continue playing year-to-year under the terms of the last year of the CBA - either side can terminate the agreement at that point. Under those conditions, the Performance Bonus Cushion would not be in effect.

Quote:
Originally Posted by CBA Article 3 Duration of Agreement
ARTICLE 3
DURATION OF AGREEMENT

3.1 Term.

(a) This Agreement is effective retroactive to September 16, 2004 (the
“Effective Date”), and shall remain in full force and effect until midnight New York time
on September 15, 2011, and shall remain in effect from year to year thereafter unless and
until either party shall deliver to the other a written notice of termination of this
Agreement at least 120 days prior to September 15, 2011 or not less than a like period in
any year thereafter.

(b) Notwithstanding anything to the contrary set forth in subparagraph 3.1(a),
the NHLPA shall have the right: (i) to terminate this Agreement as of September 15,
2009 by delivery of written notice of termination to the NHL at least 120 days prior to
September 15, 2009; or (ii) to extend this Agreement for one additional year to
September 15, 2012 by delivery of written notice to the NHL of such election to extend at
least 120 days prior to September 15, 2011.
Note that even after the agreement is terminated - assuming there is no strike or lockout - the NHL and NHLPA can (under US labor law) continue to play under the terms of the expired CBA.


Last edited by kdb209: 05-28-2010 at 12:58 PM. Reason: added Article 3
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