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06-06-2006, 03:07 PM
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kdb209
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A couple of other Buyout related tidbits from the CBA:

Complience Buyouts (50.9 (i)(ii)) one time deal last offseason - paid out over the remaining length (not 2x) and do not count against the team caps or players 54% share.

Quote:
50.9 Issues Relating to Timing and Calculation of Actual Club Salary and Averaged Club Salary.
...
(i) "Ordinary Course" Buyouts and "Compliance" Buyouts.
(i) If a Player's SPC has been terminated and bought out by a Club pursuant to the Ordinary Course Buyout provisions set forth in the SPC (which SPC also eliminates the concept of the "lump sum" buyout), the money due and owing to the Player pursuant to the buyout shall be paid out in accordance with the terms of the SPC (e.g., one-third or two-thirds of the remaining Player Salary due and owing, to be paid over twice the remaining years of the terminated and bought out contract), and the amounts paid under such Buyout agreement shall be included in the Actual Club Salary and Averaged Club Salary (as set forth in this Article 50) of the Club that bought out the Player during any League Year in which the buyout is paid, and the amounts paid under such buyout agreement shall also count against the Players' Share for any League Year in which the buyout is paid (an "Ordinary Course" Buyout). Clubs exercising Ordinary Course Buyout rights pursuant to the SPC shall endeavor to provide a Player documentation sufficient to enable the Player to "factor" the Club's buyout obligation with a commercial bank, if the Player so desires.

(ii) If a Player's 1995 SPC has been terminated and bought out by a Club pursuant to the "Compliance Buyout" provisions set forth in Exhibit 16 to this Agreement, which "Compliance Buyout" provisions apply only to the period preceding the 2005-06 regular season as agreed upon by the parties (and in accordance with the terms of the 1995 SPC, except as modified herein), then the money due and owing to the Player pursuant to the buyout shall be paid over the course of the remaining length of the terminated and bought out 1995 SPC, shall not be made in a lump sum, and the amounts paid under such buyout agreement shall not be included in the Actual Club Salary and Averaged Club Salary of the Club that bought out the Player during any League Year in which the buyout is paid. Any moneys paid pursuant to a Compliance Buyout Agreement are excluded from the definition of League-wide Player Compensation. Amounts paid under such buyout agreement shall not be counted against the Players' Share for any League Year in which they are paid. Moreover, a Player that has been bought out under the Compliance Buyout provisions of this Agreement shall be prohibited from rejoining the Prior Club that bought him out (via re-signing, trade Assignment or otherwise) for the 2005-06 League Year.

(iii) Clubs and Players shall not be permitted to negotiate either a different amount or different length of time over which buyout obligations may be paid.

(iv) If a Player's SPC has been bought out by a Club prior to execution of this Agreement, the amounts paid under such buyout agreement shall not be included in the Actual Club Salary and Averaged Club Salary of the Club that bought out the Player during any League Year in which the buyout is paid. Any moneys paid pursuant to such Buyout Agreements are excluded from the definition of League-wide Player Compensation. Amounts paid under such buyout agreement shall not be counted against the Players' Share for any League Year in which they are paid.

(v) Clubs shall file their Buy-Out Agreements with Central Registry, the NHL and NHLPA.
Normally Ordinary Buyouts can only be made in the offseason (Regular Period). I assume that this is the 6/15-6/30 period referenced in the initial post. The leaked draft CBA does not contain Exhibit 16 (the Standard Players Contract). Under the old CBA the Buyout Period was from the end of the rgular season to July 1 - Buyouts could not happen during the season under the old CBA.

Under the new CBA, a team may exercise a limited number of Buyouts outside the Regular Period. It is uncertain from the wording (and lack of Article 16 SPC) whether Buyouts would be allowed during the regular season, or only late in the offseason after arbitration awards (my guess):

Quote:
ARTICLE 11
Rules and Procedures Governing Standard Player's Contract
...
11.18 Ordinary Course Buy-Outs Outside the Regular Period.

Clubs shall have the right to exercise Ordinary Course Buy-Outs outside the regular period for Ordinary Course Buy-Outs in accordance with Paragraph 13(c)(ii) of the SPC. Each Club shall be limited to no more than three (3) such buyouts over the term of this Agreement pursuant to Paragraph 13(c)(ii) of the SPC. However, in the event that a Club has only one salary arbitration hearing pursuant to Section 12.3(a) in a given League Year, such Club shall not be entitled to exercise such a buyout outside the regular period for Ordinary Course Buy-Outs. No Club shall exercise an Ordinary Course Buy-out outside the regular period for any Player earning less than $1 million.

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