Players retiring before contact expires

Discussion in 'Fugu's Business of Hockey Forum' started by Evileye, Aug 6, 2005.

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  1. Evileye

    Evileye Registered User

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    Anyone have any idea what happens if a player retires before his contract is up?

    Let's say a player on a 4 year deal decides to hang 'em up after two year for whatever reason. Would the team still take a 'cap hit' for the last two years?

    If they don't take a hit against the cap, a team could do the following...

    An 'older' but still valuable player, (Yzerman for example) knows he's going to only play one more year. A team could sign him for two years, 2 million first year, 1 million the second. As I understand it, the cap hit is the average of the contract, therefore it would cost only 1.5 against the cap for year one and year two doesn't matter because he retires. The math could look even better if it was say a 5 year deal, 2M year one, 1M years 2-5, for an average of only 1.2M.
     
  2. SJeasy

    SJeasy Registered User

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    I believe (the 600 pages still isn't public) that there was language to the effect that any attempt to circumvent the cap would not be approved by the NHL office. This would be obvious and the PA would probably not argue the point with the NHL.
     
  3. txomisc

    txomisc Registered User

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    The Stars GM was on the radio the other day before the Modano signing and said something interesting. He said something to the effect of if Modano retired in 3 years, theyd still take the Salary Cap hit for the last two years of his contract. So apparently a player retiring is still on the books. Thats what he said, anyway.
     
  4. SJeasy

    SJeasy Registered User

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    Wow, big loophole closed; they were thorough.
     
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