Acknowledgments: Many different HFB members have contributed to the content in this FAQ by providing answers, links, or simply by asking interesting questions. It would be impossible to identify and credit everyone individually, so a big thanks to all those who have contributed in one fashion or another. Do want to give a special thanks to Irish Blues who created the original version of this FAQ.
July 1, Free agent period begins
July 5: Deadline for RFA players to elect arbitration
July 6: Deadline for teams to elect arbitration with RFA player
Jul 20-Aug 4: Arbitration hearings held (decisions due within 48 hours)
Aug 6: Arbitration decisions due
Aug 15: Deadline to sign drafted graduating seniors
Aug 17-18: NHL Research & Development camp, Toronto
Sep 16: Training camps (vets) open
Oct 6: Season opens
Oct 7-8: European Premiere
Oct 26: Lester Patrick celebration (St Paul, MN)
Nov 7-17: 2011 Subway Super Series (CHL)
Nov 8-13: U20 Four Nations Cup
Nov 12: Hall of Fame Game, Toronto
Nov 13: Hall of Fame Legends Classic
Nov 14: Hockey Hall of Fame Induction ceremony
Dec. 1, Deadline for Group II RFAs to sign (and play during season)
Dec 5-6: NHL Board of Governors Meeting, Pebble Beach, CA
Dec 12: US Hockey Hall of Fame Induction ceremony
Dec 19-27: NHL Roster Freeze
Dec 24-25: NHL Holiday break
Dec 26-Jan 5: IIHF World U20 Championship (Edmonton, Calgary, AB)
Jan 2: Winter Classic
Jan 26-30: NHL All Star Break
Jan 28: NHL All Star Super Skills
Jan 29: NHL All Star Game, Ottawa
Jan 31-Feb 1: Home Hardware CHL/NHL Top Prospects Game (Kelowna, BC)
Feb 11: Hockey Day in Canada (from Prince Edward Island)
Feb 17-19: Hockey Across America
Feb 19: Hockey Day in America
Feb 27 3pm ET: NHL Trade deadline
Mar 12-14: NHL General Managers Meeting (Boca Raton, FL)
Mar 23-25: NCAA Regionals
Apr 5-7: NCAA Frozen Four (Tampa, FL)
Apr 7: End of NHL Regular Season (15 games)
Apr 10?: NHL Draft Lottery
Apr 11: Start of NHL Playoffs
Apr 12-22: IIHF U18 World Championship (Czech Republic)
May 4-20: IIHF World Championship (Helsinki, FIN; Stockholm, SWE)
May 5-13: 2012 RBC Cup (Humbolt, SK)
May 18-27: CHL Memorial Cup (Shawinigan, QC)
May 28-Jun 2: NHL Draft Combine, Toronto
June 1: Deadline to sign 2010 draftees, early-leave college draftees
June 1: Early deadline to sign 2011 draftees
June 15: Last possible day for Stanley Cup to be awarded
June 15 (or 48 hours after Cup awarded, whichever is later) - June 30: Buyout period
June 15 (or 48 hours after Cup awarded, whichever is later): Deadline for first club-elected salary arbitration
Jun. 20, NHL Awards™, Las Vegas, NV
Jun. 22-23, NHL Entry Draft, Pittsburgh, PA
Jun. 25 (or the Monday after the Entry Draft, whichever is later): Qualifying offers due
1.3 What is the salary cap for 2011-2012?
-- The Upper Limit is $64.3 million; the Midpoint $56.3 million; and the Lower Limit $48.3 million.
1.5 Duration of the CBA When does the CBA expire?
- From Section 3.1 of the CBA:
-- 6/21/10: NHLPA votes to extend CBA to 9/15/12.
-- The agreement runs until September 15, 2011, after which it will automatically extend year-to-year unless either the NHL or NHLPA elect to cancel.
If either side chooses to cancel the CBA, notice must be given at least 120 days before the Sep 15th auto-renewal date [May 18th].
- The NHLPA has two special options that supersede the above agreement terms:
-- The NHLPA had the option to terminate the CBA on Sep 15th, 2009 with 120 days notice. This option was not exercised.
-- The NHLPA has the option to extend the CBA an additional year till Sep 15th, 2012 with 120 days notice prior to Sep 15, 2011. Option exercised.
1.6 Other hockey league CBA expiration dates
AHL-PHPA CBA expires August 31, 2014
ECHL-PHPA CBA expires June 30, 2013
CHL-PHPA CBA expires (circa) May 31, 2012
NHL-NHLOA CBA expires August 31, 2014
8/8/2010: Negotiations are still ongoing towards successor agreements for the AHL and CHL.
9/7/2010: Agreement reached on CHL-PHPA deal.
10/6/2010: Agreement reached on NHL-NHLA deal; ratified 10/27.
10/8/2010: Agreement reached on AHL-PHPA agreement
Last edited by LadyStanley: 06-25-2012 at 01:03 PM.
What is a Compensatory Draft pick and how does a team receive one?
-- Quoted from CBA Section 8.3(b)" "In the event a Club loses its draft rights to an Unsigned Draft Choice drafted in the first round of the Entry Draft (except as a result of failing to tender a required Bona Fide Offer (as defined below)), who is again eligible for the Entry Draft or becomes an Unrestricted Free Agent, a Compensatory Draft Selection shall automatically be granted to that Club, which Compensatory Draft Selection shall be the same numerical choice in the second round in the Entry Draft immediately following the date the Club loses such rights."
Didn't teams used to get compensatory draft picks for losing their own UFA's?
-- Yes, this happened under the previous 1995 CBA but the practice was discontinued in the newer 2005 CBA.
What are the types of Free Agents? [CBA Section 10.1 and 10.2]
-- Unrestricted Free Agents: Group 3 UFA: Most common form of UFA. Following the 2008-2009 season and for the remainder of the CBA the following criteria are applied. (1) Player must be of age 27 or older as of June 30, or (2) have 7 Accrued Seasons* in the NHL. [CBA Section 10.1(a)]
* See definition for Accrued Season, also players that earned an Accrued Season in 2003-2004 were given credit for an Accrued Season during the 2004-2005 lockout.
Group 5 UFA: Players that have completed 10 or more professional seasons (includes minor leagues, but not Major Juniors) and earned less than the Average League Salary in their final season. One-time during their career after their current SPC expires that player can elect to become a Group 5 UFA. [CBA Section 10.1(b)]
* With the reduction of the Group 3 UFA age from 31 to 27 over the course of the current CBA, Group 5 UFA's have been effectively eliminated since any player with 10 seasons of pro experience would meet the Group 3 age requirements.
Group 6 UFA: Players age 25 or older with (1) 3+ professional seasons, and (2) played less than 80 NHL career games for skaters, or 28 NHL games for goalies (30 minute minimum/game). [CBA Section 10.1(c)]
-- Restricted Free Agents Group 2 RFA: Most common form of RFA. Any player that has (1) fulfilled* their Entry Level Contract, and (2) does not qualify to be a UFA or Group 4 RFA. [CBA Section 10.2(a)]
* Players in the Entry Level System (rookie contracts) are classified as Group 1 players and are subject to the Entry Level System for 1-3 years based on signing age [CBA Section 9.1]. The mandatory rookie ELC is of identical length to that 1-3 year requirement, so players completing their ELC's should also have completed their Entry Level System requirement. It is theoretically possible that a player could somehow have an ELC terminated or not fulfill it in some way that resulted in the player remaining in the Entry Level System for a second contract though I'm not aware of any incidences of that happening.
Group 4 RFA: Also called "Defected Player". Players that either (1) have not fulfilled their most recent SPC and have signed with an unaffiliated hockey club, or (2) have never signed an NHL contract, but had their draft rights held by a team and also signed with an unaffiliated hockey club. [CBA Section 10.2(b)]
* In practice, unaffiliated hockey clubs are members of leagues that do not have transfer agreements in place with the NHL. This currently includes most (all?) of the European professional leagues. There are a lot of additional technical details in the CBA 10.2(b) section on Group 4 classification.
How are Entry-Level Contracts structured?
-- See CBA Article 9 and Exhibit 5 for Performance Bonuses
-- http://hfboards.com/showpost.php?p=6608193&postcount=3 (doesn't cover performance bonuses)
-- The length of the ELC is maximum 3 years; how long is based on their age when players sign the contract. Ages 18-21, players can sign 3 year contract; ages 22 and 23 players can sign two year contract; age 24 one year deal. Players aged 25 and are not subject to ELC limitations. (See CBA Article 9.1(b).)
How does sending a player back to juniors affect his contract situation? [CBA Section 9.1(d)]
-- Quoted from CBA Section 9.1(d)(i): In the event that an 18 year old or 19 year old Player signs an SPC with a Club but does not play at least ten (10) NHL Games in the first season under that SPC, the term of his SPC and his number of years in the Entry Level System shall be extended for a period of one (1) year, except that this automatic extension will not apply to a Player who is 19 according to Section 9.2 by virtue of turning 20 between September 16 and December 31 in the year in which he first signs an SPC.
-- Summary: any player signing their ELC at age 18 or 19 will have their contract extended a year if they do not play in at least 10 NHL games. Players originally signed at 18 can be extended a 2nd time [at age 19] if they do not play in 10 NHL games again the second year. Once a player reaches the 10 NHL game threshold their contract cannot be extended in a future season. e.g. an 18 year old signs and plays 20 NHL games, then the next season at age 19 he plays zero NHL games: the contract cannot be extended.
-- This rule is not restricted to only players returned to the CHL juniors, for example a USHL 18 year old player could be signed and assigned to the AHL. Teams can also use this rule to give draftees a taste of the NHL at the end of the season. For example Phoenix signed Kyle Turris out of college to play the last 3 games of the 07-08 NHL season. Because Turris didn't meet the 10 NHL game threshold his 3 year ELC contract originally signed for 2007-2008 through 2009-2010 was extended until 2010-2011.
Is an Extension actually a new contract or literally an extension of the player's current contract?
-- An Extension is a completely new contract that takes effect after the player's current contract expires. The CBA clarifies this in Section 50.5(f)(i).
When can a player sign an Extension? [CBA Section 50.5(f)(ii) and (iv)]
-- July 1st of their existing contract's final season for players on multi-year contracts.
-- January 1st for players currently on one-year contracts.
Can a team sign a player to a one-year deal and at the same time a second longer term Extension starting the following season, perhaps to manage the player's cap hit?
-- No, see the limitation above on when a player on a one-year deal can be Extended.
4.4 No Movement Clause / No Trade Clause [NMC/NTC]
What is the difference between a No Movement Clause [NMC] and a No Trade Clause [NTC]? [CBA Section 11.8]
-- In addition to no-Trade [NTC] restrictions, an NMC can also prevent the involuntary relocation of a player by Waiver or Loans.
Which players are eligible to have NTC/NMC's in their contracts? [CBA Section 11.8]
-- Any player who is a Group 3 Unrestricted Free Agent [most common form of UFA] can negotiate a contract with an NTC/NMC.
-- RFA's and other non-Group 3 UFA's can negotiate NTC/NMC's in contracts, however those clauses cannot take effect until the player's experience would qualify them as a Group 3 UFA.
If a player that has a NTC/NMC waives it and gets traded, does he retain his NTC/NMC after the trade? [CBA Section 11.8]
-- Yes, the NTC/NMC remains in effect. The only way it is gone forever is if (A) the player has a NTC that has not vested [it has yet to come into effect when the player was traded], and (B) the acquiring team refuses to be bound by it [the team must make this decision at the time of the trade].
Can a player with a NMC be Bought Out? [CBA Section 11.8(b)]
-- Yes. The CBA grants the player an option to choose whether or not to be placed on waivers prior to the Buy-Out finalizing. Example: Darcy Tucker in 2008.
11.8(a) The SPC of any player who is a Group 3 Unrestricted Free Agent under Article 10.1(a) may contain a no-Trade or a no-move clause. SPCs containing a no-Trade or a no-move clause may be entered into prior to the time that the Player is a Group 3 Unrestricted Free Agent so long as the SPC containing the no-Trade or no-move clause extends through and does not become effective until the time that the player qualifies for Group 3 Unrestricted Free Agency. If the player is traded or claimed on Waivers prior to the no-Trade or no-move clause taking effect, the clause does not bind the acquiring Club. An acquiring Club may agree to continue to be bound by the no-Trade or no-move clause, which agreement shall be evidenced in writing to the Player, Central Registry and the NHLPA, in accordance with Exhibit 3 hereof.
11.8(b) A no-move clause may prevent the involuntary relocation of a player, whether by Trade, Loan or Waiver claim. A no-move clause, however, may not restrict the Club's buy-out and termination rights as set forth in this Agreement. Prior to exercising its Ordinary Course Buy-Out rights pursuant to Paragraph 13 of the SPC hereof, the Club shall, in writing in accordance with the notice provisions in Exhibit 3 hereof, provide the Player with the option of electing to be placed on Waivers. The Player will have twenty-four (24) hours from the time he receives such notice to accept or reject that option at his sole discretion, and shall so inform the Club in writing, in accordance with the notice provisions in Exhibit 3 hereof, within such twenty-four (24) hour period. If the Player does not timely accept or reject that option, it will be deemed rejected.
Is there any restriction on teams re-signing a player they've bought out?
-- No. The only restriction was on the Compliance Buyouts immediately after the lockout [summer of 2005]; those players could not rejoin [whether by signing, trade, waiver claim, or any other method] the team executing the buyout for one year.
4.6 Performance Bonus Clauses
Which players are allowed to have performance bonuses in their contracts?
-- Quoted from CBA Section 50.2(b)(i)(C)(2): Performance Bonuses shall be allowable under this Agreement only for: (i) Players with Entry Level SPCs under Article 9 of this Agreement; (ii) Players aged 35 or older as of June 30 prior to the League Year in which the SPC is to be effective, who have signed a one-year SPC for that League Year; and (iii) Players who are "400-plus game Players" for pension purposes, and who: (i) in the last year of their most recent SPC, spent 100 days or more on the injured reserve list; and (ii) have signed a one-year SPC for the current or upcoming League Year.
-- Summary version: (i) players on their rookie contracts, (ii) 35+ year old players on 1-year contracts, and (iii) veteran players with recent injury issues [see above game # thresholds] again only on 1-year contracts.
Can clubs create a team-wide bonus plan, for example all players get a bonus for making the playoffs?
-- No, only individual contracts can have bonuses. Teams cannot create blanket team bonuses or incentives. [CBA Section 11.7] However there are league "playoff bonuses" that are paid to players; least amount for teams that lose 1st round (conference quarter finals), larger amount for teams ousted in 2nd (conference semi-finals), even larger for 3rd round (conference final), largest loser bonus to 4th round (Stanley Cup Finals), largest bonus to Stanley Cup winners.
4.7 Other Compensation Questions
Do players get paid during the preseason? [CBA Article 15]
-- No, but expenses including travel and lodging are covered. See Article 15 for full details.
-- It is possible that a player is scheduled to receive a bonus payment, such as a signing or reporting bonus, during the preseason period, however the payment would not be explicitly for the preseason itself.
What about one-way vs two-way contracts? [CBA Article 10.2]
-- For RFA (group II) players, if they have played 180+ NHL games in the last three years, or 60+ NHL games in the last season, and not cleared waivers (after the 12th day prior to start of season until the end of the playing season), they must receive only a one-way (NHL) Qualifying Offer. Otherwise, they are eligible to receive a two-way QO (NHL salary, plus lower amount of minor league salary, if playing in AHL; AHL salary must be at or above previous AHL salary or minimum AHL salary). See article 10.2, paragraph a.iii.
-- No rules for UFA players.
4.8 Roster, contract limits
Teams are limited to 50 active NHL contracts (which excludes 18 and 19 year old players signed to NHL ELS contracts who are playing in the Canadian Hockey League).
Teams are limited to a reserve list of 90 players.
NHL Teams must maintain a minimum 20 players on their active roster (18 skaters and two goal tenders); players on the Injured Reserve or Long Term Injured Reserve list do not count against this limit.
NHL Teams are limited to a maximum 23 players on their active roster; players on the Injured Reserve or Long Term Injured Reserve list do not count against this limit. (See salary cap section for further restrictions.) 18 skaters and two goal tenders are dressed for a game.
If a player is put on the Injured Reserve list, he must stay on the IR for at least 7 days. A player can be put on the IR retroactively to the day/game he was injured.
Teams must comply with the 23-man roster limit before the start of the regular season. (Exceptions have been allowed for teams traveling overseas to start play, but must be adhered to upon return to North America.)
The 23-man roster limit does not apply after the trade deadline.
Emergency call ups may exceed the 23-man roster limit. (But the salary cap limit is still in place.)
Supplement to the CBA Governing Contracts of 5+ yrs in Duration:
As part of the agreement, the NHL will register the contract between the New Jersey Devils and Ilya Kovalchuk that was filed with the League on August 27, 2010. The NHL also will terminate its circumvention investigations into the contracts signed in 2009 by Marian Hossa of the Chicago Blackhawks, Roberto Luongo of the Vancouver Canucks, Marc Savard of the Boston Bruins and Chris Pronger of the Philadelphia Flyers.
Under the terms of the agreement, the new rules will apply only to long-term contracts, defined as those with terms of five years or longer, and only to contracts executed after September 4, 2010. The new rules apply to contracts signed between now and the end of the CBA, as well as all contracts signed that begin in the 2012-13 season. The parties have agreed that the new rules do not automatically carry over into a new CBA.
For the purpose of Salary Cap calculations, any long-term contract that extends past a player’s 41st birthday will be valued and accounted for in two ways: The compensation for all seasons that do not include or succeed the player’s 41st birthday will be totaled and divided by the number of those seasons to determine the annual average value (AAV) charged against the team’s Cap for those seasons. In all subsequent seasons, the team’s Cap charge will be the actual compensation paid to the player in that season (or seasons, as appropriate).
Additionally, in any long-term contract that averages more than $5.75 million for the three highest-compensation seasons, the following rule shall apply: Solely to determine its value for purposes of the Salary Cap, a player’s compensation for any season in which he is age 36, 37, 38, 39 and/or 40 shall be valued at a minimum of $1 million.
See CBA Article 12 for full particulars. Players must be Restricted Free Agent (group 2) to participate.
Salary Arbitration Eligibility
First SPC Signing Age
Min Level of Pro experience
24 and older
CBA Section 10.2(a)(i) on Professional Experience: For the purposes of this Section 10.2(a), a Player aged 18 or 19 earns a year of professional experience by playing ten (10) or more NHL Games in a given NHL Season, and a Player aged 20 or older (or who turns 20 between September 16 and December 31 of the year in which he signs his first SPC) earns a year of professional experience by playing ten (10) or more Professional Games* under an SPC in a given League Year.
*Professional Games includes minor pro league games like the AHL.
What if a player with a multi-year contract gets claimed on recall waivers and is eventually bought out?
-- From the NHL office: both the current and prior team involved split the salary and cap hit involved in the buyout.
Does a player who is under contract in Europe have to clear waivers to play in NHL?
-- Yes. This post answers most questions related, with CBA references. (See also CBA section 13.23)
6.2 Waiver Exemption
For exemption determination, NHL games played include regular and post season games.
Once the number of games exempt has been reached, the player is subject to waivers. However, if the number of games has not been reached, if a player starts the season with a year of exemption remaining, they aren't subject to waivers until the following year.
Age in tables below is the player's age when they signed their NHL contract (regardless of when they begin NHL play).
Article 13.4 Goalie Exemption:
Years from signing - NHL
NHL Games Played
Years from signing - NHL
NHL Games Played
By definition, the North American minor leagues a player can be loaned to by his NHL franchise, are only the American Hockey League (AHL) or the ECHL. Some players may also be loaned to an European league.
Two-way contract means that a player is paid at different rates depending on if he's in the NHL or a minor league. (One-way contract means that a player is paid the same, regardless of the league he's playing in.)
Entry-level NHL contracts, by definition, are "three-way" deals (but have "two-way" payment), in that a player can be assigned to the AHL and/or ECHL.
Players with non-entry level contracts cannot be assigned to the ECHL without their permission.
Players cannot be loaned or recalled (except under emergency conditions) during roster freezes (e.g., Christmas/holiday roster freeze, Olympic roster freeze, etc.).
Player movement must be reported to the league office by 5pm ET each day. (E.g., the "forgotten" filing by Montreal resulted in the player having to exit the game and the team skating a man short as he was not on the NHL roster.) This is also how the league calculates the daily cap hit per team.
Players loaned to a minor league team must report (or be on their way) before a recall (back up). No "paper" movement.
A few notes on the AHL and ECHL rosters.... The union that represents players in the AHL, ECHL (and CHL) is the PHPA; there are separate CBAs for each league. The AHL does not have a roster limit; the AHL does have an injured reserve that requires a minimum of 7 days stay. The ECHL has an active roster limit of 23 players; the ECHL has 3-, 7- and 21-day injured reserved lists (which do not count against the active roster limit); the ECHL does have a salary cap (players on NHL contracts are counted at a fixed rate for cap hit regardless of the actual $$s earned/paid, if more than the league max).
When a player gets traded, does his cap number change?
-- No, it does not. The cap number of a player is constant for all years of the contract, nothing in the CBA provides for it to adjust simply because he's traded.
Emergency recalls occur when a team has less than 18 skaters and 2 goaltenders available. (Nominally this is due to illness or injury, but a family situation like the birth of a child or family death may also come into play. League suspension is another reason.)
The player is recalled for maximum 72 hours, or the length of the emergency, whichever is longer.
Emergency recalled players are subject to the salary cap restrictions.
If the team wishes to keep an emergency-recalled player on the roster after an emergency, that player would need to clear waivers, if applicable, and fit under other roster limits.
NHL teams are limited to TBD emergency recalls
Waiver prices vary depending on the experience level of the player:
13.16 Waiver Prices.
(a) Except as specifically otherwise provided in this Agreement, the prices applicable to Players being Waived on Regular and Re-EntryWaivers shall be in US dollars, and are as follows:
For each forward and defenseman who has not in the aggregate completed more than the following years under one or more SPCs:
2 Years - $67,500
3 Years - $56,250
4 Years - $41,250
5 Years - $26,250
For each goaltender who has not in the aggregate completed more than the following years under one or more SPCs:
2 Years - $90,000
3 Years - $75,000
4 Years - $67,500
5 Years - $63,750
For each forward, defenseman and goaltender who has not in the aggregate completed more than the following years under one or more SPCs:
6 Years - $15,000
7 Years - $13,125
8 Years - $11,250
9 Years - $7,500
In the case of any Player who has completed more than nine (9) years under one or more SPCs - $3,375.
(b) The Waiver price of a Player for whom an unconditional release is sought via Unconditional Waivers shall be $125.00 US dollars.
Last edited by LadyStanley: 02-06-2011 at 07:02 PM.
How does revenue sharing work? [CBA Article 49]
-- Quoted from the CBA:
Preamble. The NHLPA has conditioned its agreement to the Team Payroll Range System, set forth in Article 50 of this Agreement, on the NHL's agreement to establish this Player Compensation Cost Redistribution System. The Player Compensation Cost Redistribution System acknowledges the reality that the Upper Limit of the Payroll Range prevents certain high-revenue Clubs from spending as much of their revenues toward Player Compensation (i.e., Player Salaries, Bonuses and Benefits) as they might otherwise be capable of spending. In addition, there may be lower-revenue Clubs that may have challenges in spending much more than the Lower Limit of the Payroll Range. The NHLPA has focused on the limitations on the spending ability of the Clubs, and desires that these Clubs be financially supported and thereby able to spend sufficient amounts on Player Compensation Costs to achieve a closer range of payroll spending than might otherwise occur.
The Player Compensation Cost Redistribution System described herein, therefore, is designed to cause certain high-revenue Clubs to contribute even more of their revenues toward the payment of Player Compensation –albeit indirectly –by redistributing a certain portion of the revenues of such Clubs to the lower-grossing, small market Clubs so that such lower-grossing, small market Clubs may be able to, and elect to, spend more on Player Compensation. The Player Compensation Cost Redistribution System is intended to enhance the ability of all Clubs to be financially competitive with one another, and, at the very least, to allow all eligible Clubs to be able to spend to at least twenty-five (25) percent of the Team Payroll Range, plus the Club's share of Benefits, on Player Compensation (i.e., Player Salaries, Bonuses and Benefits).
Key elements of the system summarized:
-- A league-wide Minimum Distribution Commitment for revenue sharing is calculated as 4.5% of league-wide HRR [Hockey Related Revenues]
-- To be eligible for revenue sharing a team must meet the following requirements: (a) In the bottom 15 of the NHL in gross preseason and regular season revenue; (b) In a DMA or BBM [designated market area] with less than 2.5 million households; (c) have gross preseason and regular season revenue below a CBA-calculated threshold.
-- Each eligible team has a Minimum and Maximum possible distribution amount calculated based on that club's preseason and regular season revenue.
-- Depending on the total amounts of the 4.5% Minimum Distribution Commitment and the totals of the Minimum and Maximum amounts for each eligible team there are a few different scenarios that can occur:
(i) 4.5% Min Commitment < total club Minimums for eligible teams. In this case the 4.5% collected is increased by the amount necessary to fully fund the total club Minimums.
(ii) total club Minimums < 4.5% Min Commitment < total club Maximums. In this case all eligible teams will receive an amount between their Minimum and Maximum such that the 4.5% is fully distributed.
(iii) total club Maximums < 4.5% Min Commitment. In this case less than 4.5% will be distributed with each eligible club receiving the Maximum. Up to $10m of the undistributed funds will be placed in a Joint Marketing Account overseen by the NHL and NHLPA. Any additional unused funds are returned pro rata to the contributing teams.
How is the 4.5% Minimum Distribution Commitment funded? [CBA Section 49.5]
(i) Excess centrally generated League revenues, if any exist. Do not believe this figure has ever been published.
(ii) Up to 1/3 of the remaining balance from Escrow if there is an Overage where Escrow funds are distributed back to the teams. The funds collected from Escrow are limited to only those attributable to the top 10 highest revenue teams. There was a small Escrow overage in 2006-2007 and a very large one in 2008-2009.
(iii) After the previous two steps, the remaining balance necessary to satisfy the 4.5% Minimum Distribution Commitment is split 50%-50% between two sources: (a) A % of Playoff revenue is collected from all playoff clubs; (b) The top 10 revenue clubs [preseason and regular season only] are assessed an amount proportional to their individual revenues. See the following two sections for more details.
How does the Playoff funding phase work? [CBA Section 49.5(c)]
-- For each playoff game the home team is assessed either 30%, 40% or 50% of a "theoretical, fully-priced, sold-out regular season game in the Club's home arena for that League Year".
-- Teams in the top 10 revenue are assessed 50%, 11th to 20th at 40% and 21st to 30th at 30%.
-- Teams with arenas greater than 17,500 seats have their % proportionately decreased. For example, Montreal's Bell Centre at 21,273 capacity would be assessed at 50% * 17500/21273 = 41.1%
-- As most teams increase ticket prices for the Playoffs, the actual % of Playoff revenue collected will be less than the nominal 30%/40%/50% figure.
How is the supplemental funding phase from Top 10 revenue teams collected? [CBA Section 49.5(d)]
-- The league determines the top 10 teams "in terms of Club Gross Preseason and Regular Season Revenues Net of Arena Costs".
-- The "incremental" amount by which each top 10 team's revenue exceeds the 11th ranked club is calculated.
-- Teams are assessed an amount proportional to this incremental revenue. Hypothetical example: if Toronto had $20m in incremental revenue over the 11th place team, and the top 10 teams in total had $150m in incremental revenue then Toronto would be assessed 13.3% [$20m/$150m] of the supplemental funding amount required to reach the 4.5% Minimum Distribution Commitment.
-- The maximum amount an individual team can contribute in this phase is capped in two ways:
(i) A team cannot be assessed more than 20% of the supplemental funding.
(ii) A team cannot be assessed an amount greater than "its revenues derived from the telecast of its away games; its revenues derived from its playoff games; its pro rata share of national and international broadcast revenues; its pro rata share of revenues derived from NHL Enterprises; and its pro rata share of any other national revenues."
How are the Minimum and Maximum distributions to eligible teams calculated? [CBA Section 49.3/49.4]
How does the Final Escrow Disbursement work? [CBA Section 49.7]
Linkage rate as % of HRR:
Under $2.2 billion in HRR: players get 54% collectively
From $2.2 billion to $2.4 billion in HRR: 54-55% on a sliding scale
From $2.4 billion to $2.7 billion in HRR: 55-56% on a sliding scale
$2.7 billion in HRR, and over: players get 57%[/QUOTE]
So, if my team goes over the cap in 2008-09, we can just carry the overage to 2009-10 ... right?
-- Not in 2008-2009. Because the NHLPA holds the right to reopen the CBA if it notifies the NHL prior to May 18, 2009 then the current [2008-09] season must be considered the final season under this CBA - and thus the $56.7 million Upper Limit is a hard cap; the total cap numbers of players [including bonuses] on the NHL roster may never exceed that amount during the season. (Even though the NHLPA notified the NHL in the middle of the 08-09 season, before the trade deadline, that they would not terminate the CBA early, the NHL did not reinstate the bonus cushion for the remainder of the 08-09 season.)
-- This bonus cushion generally does not exist in the season preceding the end (or potential end) of the CBA. With the CBA set to expire 9/15/2011, the 2010-2011 season will not have a bonus cushion (unless the NHLPA extends the CBA to 9/15/2012 -- and probably makes that determination by 9/1/2010). Note -- the NHLPA did vote to extend the CBA until 9/15/2012, so the 10-11 season will have a bonus cushion; however, the 2011-2012 season will not have a bonus cushion.
Last edited by LadyStanley: 11-23-2010 at 12:53 AM.
Why does <my favorite cap site> show a $700k option/buyout cost for Daniel Alfredsson for 2009-2012?
-- Alfredsson's previous contract [signed pre-lockout and the new 2005 CBA] contained 3 team/player option years starting in 2009-2010 with a clause that Alfredsson would be paid $700k for each option year that wasn't exercised. Both the Sens and Daniel mutually agreed to not trigger the option years and signed a new contract starting in 2009-2010, a result of which Daniel was to receive $2.1m for the unexercised options. The NHL is applying this payment as a $700k/year cap hit to the Sens in 09-10, 10-11, 11-12. Option years are no longer allowed under the new CBA, however pre-2005 contracts with options were grandfathered in.
I am hoping for some clarity wrt the rights of Anton Lander and the Swedish transfer agreement.
There are some on the Oiler board that think he must be signed this year or he goes back in the draft. I am niot sure that this is the case and I'll give you two words why I think this is up in the air: Jesper Samuelsson
I am sure we are all more than familiar with the case of young Jesper.
But just so I am clear. He was drafted in 2008 by the Red Wings and is of yet not signed. He is however still listed as a Red Wing prospect. The reason I think this is ok is because at the time he was drafted there was no transfer agreement in place with Sweden. By playing in Sweden he would have fallen under the defector status in the previous CBA. Now the defector status was technically eliminated in this CBA under the condition that the NHL sign an appropriate transfer agreement with the IIHF.
Here is where this simple tale gets a little murky as no such agreement has been signed. The NHL did sign a transfer agreement in 2010 (after Lander had been drafted) with the SIHF, but at the time as far as I know there was no word what so ever on whether the relevant clauses in this agreement would apply to players who had been drafted prior to its signing.
Enter young Jesper. He has not yet signed with the Wings AFAIK but remains Red Wing property. This in a nutshell is why I say I am unsure of what must be done with Lander.
There are a fair number of other Swede's drafted in 2008 that have not yet signed but are still listed as prospects on the sites of teams that drafted them.
So my question is: How does Lander, who was drafted in 2009 fit into this mess?
AIUI, the Oilers will retain his rights as a defected player.
The CBA retained all of the Defected Player and Group 4 RFA terms of the old CBA - but there was a separate letter agreement between the NHL & NHLPA which tolled those terms:
1. The parties agree that the NHL's agreement to eliminate "defected
status" for European draftees is necessarily and expressly contingent on its ability to
negotiate a satisfactory IIHF Player Transfer Agreement, which is substantially consistent
with the terms of past Agreements. In the event the NHL is unable to negotiate a
satisfactory successor IIHF Agreement or make other comparable arrangements to allow
NHL Clubs the opportunity to sign European players, the changes to "defected status"
contemplated in Articles 8 and 10 of the CBA will automatically be tolled, and the parties
will consult regarding whether corresponding and resulting changes to the CBA should
That agreement is unclear on what happens if a "satisfactory successor IIHF Agreement" is negotiated and then lapses. The NHL did sign an IIHF PTA in 2005 and 2007 - but that 2007 PTA was terminated in 2008.
The League's position was that the Defected Player rules went back into force. The NHLPA filed a grievance and an arbiter ruled in favor of the NHL's interpretation. After losing arbitration, the NHLPA filed an unfair labor practice charge with the NLRB. I have never seen anything on the NLRB making any ruling - so I believe that the NHL's position is still in force.
Under the Defected Player rules of Article 10.2(b), the Oilers will hold Landers rights until 30 days after his SEL contract with Timra expires. After that he will become a Group IV RFA - he will be free to sign an Offer Sheet with any team (subject to ELS limits), but the Oilers will retain the Right of First Refusal to match (although there is no compensation if they elect not to match).
The only gray area is whether a separate PTA with the SEL would have any effect on his status. I would assume not - at least not unless the NHLPA files a grievance and an arbiter rules in their favor.