Compensatory Draft System
1. A Compensatory Free Agent ("CFA") is defined as a Group III
unrestricted free agent who signed a contract with a New Club.
Clubs that suffer a "net loss" (as described below) shall be
eligible to be awarded a Compensatory Draft Selection in the
subsequent Entry Draft in accordance with the provisions of
Paragraph 3 below.
2. The following calculation, calculated as of June 30 each
year, based on a player's (i) "average annual compensation" and
(ii) honors, shall be used to determine a CFA's ranking on a
percentile basis as against all other players on Club rosters at
the conclusion of a regular season:
(a) All CFAs and other League players on rosters at the
conclusion of a regular season shall be ranked in ascending order
by their "average annual compensation," which shall be determined
by dividing a player's Compensation (for all contract years) by
the number of contract years. (Thus, the player with the lowest
average annual Compensation shall be ranked first, etc.) Each
player shall receive 1/100th of a point per dollar of his
"average annual compensation." Rankings and calculations for
CFAs shall be based on the CFA's new contract and shall be
determined as of the first day of the regular season.
(b) At the end of each year, the League shall assign to all
such players additional points based on honors in the prior three
Seasons, as follows:
(1) Twenty (20) points for being selected First Team
NHL All-Star by the PHWA.
(2) Ten (10) points for being selected Second Team NHL
All-Star by the PHWA, [or for being awarded by the Lady Byng or
Masterton Trophies.]
(3) Thirty (30) points for being awarded the Hart,
Norris, Ross, Vezina, Selke, or Conn Smythe Trophies.
(4) Ten (10) points for being selected Captain.
(5) Twenty (20) points for winning the Stanley Cup.
(6) Twenty (20) points if the player is 32 on June 30;
fifteen (15) points if the player is 33 on June 30; ten (10)
points if the player is 34 on June 30.
(c) The sum of the numerical values in (a) and (b) above
shall represent each player's final numerical value.
(d) The players shall then be re-ranked based upon such
final numerical values.
(e) Each CFA's final numerical value shall be measured in
percentile terms against all players' (including the CFA's)
numerical values to determine the position, if any, of a Club's
Compensatory Draft Selection.
3. (a) A Club shall qualify to be eligible for a Compensatory
Draft Selection if:
(i) it has lost a CFA and not gained a
corresponding CFA in an equal or higher percentile bracket (based
on subsection (c) below); and
(ii) the Club has suffered a "net loss" of
CFAs when the numerical value of all CFA's gained is deducted
from the numerical value of all CFA's lost;
(b) The CFA's for which a Club did not receive a
corresponding CFA gain per subsection 3(a)(i) above shall then be
ranked according to their numerical value. Then in descending
order based upon a CFA's numerical value, each Club shall be
awarded a Compensatory Draft Selection based upon its CFA, up to
a maximum of two per Club. This procedure shall continue until
the available Compensatory Draft Selections are exhausted.
(c) The position of a Compensatory Draft Selection shall be
determined by a CFAs percentile ranking pursuant to 2(d) above
and the following provisions:
(1) Clubs that lost a CFA within the top 5% of all
League players shall receive a Compensatory Draft Selection no
earlier than the 11th selection in the second round of the
Entry Draft.
(2) Clubs that lost a CFA below the top 5% of all
League Players but within the top 10% shall receive a
Compensatory Draft Selection following the 52nd selection in the
Entry Draft.
(3) Clubs that lost a CFA below the top 10% of all
League Players but within the top 15% shall receive a
Compensatory Draft Selection following the 78th selection in the
Entry Draft.
(4) Clubs that lost a CFA below the top 15% of all
League Players but within the top 25% shall receive a
Compensatory Draft Selection following the 104th selection in the
Entry Draft.
(5) Clubs that lost a CFA below the top 25% of all
League Players but within the top 50% shall receive a
Compensatory Draft Selection following the 130th selection in the
Entry Draft.
(6) Clubs that lost a CFA below the top 50% of all
League Players but within the top 75% shall receive a
Compensatory Draft Selection following the 156th selection in the
Entry Draft.
(7) Clubs that lost a CFA below the top 75% of all
League Players shall receive a Compensatory Draft Selection
following the 234th selection in the Entry Draft.
(8) The exact slot, subject to the above guidelines
and availability of Compensatory Draft Selections, shall be
determined by the Commissioner prior to the Entry Draft