Kovalchuk to Devils UPD: Arbitrator rules in NHL's favor, Kovy UFA again, Post #701+
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08-09-2010, 08:23 PM
novus ordo seclorum
Join Date: Jul 2004
Originally Posted by
This will make it very hard for NJ to just take off 2 years and re-submit. They will need to completely re-work the structure of any new deal and I wonder what Kovalchuk will think of that?
He will get no where near $100/10 years anymore from an NHL team.
I don't read that at all...
Excerpts from Bloch's ruling, obtained by Sporting News:
"In this case, the record strongly supports the claim this contract is 'intended to, or has the effect' of defeating or circumventing the Salary Cap provisions of the CBA. The overall structure of this SPC reflects not so much the hope that Mr. Kovalchuk will be playing in those advanced years, but rather the expectation that he will not. This is a long contract --17 years -- the longest in NHL history. That, in itself, poses no contractual problem, for the reasons discussed above. But Kovalchuk is 27 years old, and the agreement contemplates his playing until just short of his 44th birthday. That is not impossible, but it is, at the least, markedly rare. Currently, only one player in the League has played past 43 and, over the past 20 years only 6 of some 3400 players have played to 42. ..."
To me that sounds like 40-42 is what the arbitrator considers the absolute max.
More from the report regarding finances:
"...The dynamics of this SPC, with particular reference to its final six years, are such that there is scarce reason for either Player or Club to continue the relationship. The incentives are strongly to the contrary. By year 11, the Player will have received $98,000,000 of his $102,000,000contract , constituting some 97% of the bargain. One may reasonably ask, as the League does, whether a player who had been averaging some $9,000,000 a year will be satisfied to continue the rigors of an NHL season for a salary that (1) will average slightly more than $550,000 a year, (2) will represent a 95% reduction against previous average earnings and (3) will undoubtedly constitute compensation well below the then-applicable major league minimum. The economic incentives are not limited to issues of the Player's preferences, alone. During the final six years, the comprehensive "No Move" restriction will have been reduced to a "No Trade" clause. This additional flexibility will allow the Club to, for example, place the Player on waivers or send him to the minors. Here again, one may reasonably ask whether this Player would, at that point, accept such repositioning as an alternative to seeking continued employment outside the League or simply retiring."
The fact that this is the most heavily frontloaded contract... Basically they just need to make it so he doesn't get so much at the beginning and so little at the end. It could easily be restructured to fit 100mil.
He will still probably sign a 12-14 year contract that averages pretty close to 100mil.
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