Team Owners Other Businesses - And Players

Discussion in 'Fugu's Business of Hockey Forum' started by allin4466, Oct 20, 2011.

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  1. allin4466

    allin4466 Registered User

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    Pretty random thought. I remember seeing a few weeks ago, that Burmistrov had picked up a Range Rover from a dealership in Winnipeg(not Chipman owned). I thought at the time "huh, Chipman will be pissed" as the Chipman family owns Birchwood Automotive Group.

    It also got me to thinking, that the Chipmans have a large swath of properties and businesses in the city, and Mr. Thompson owns a large amount of companies through T.R.

    How cautious does ownership have to be in this situation that none of their players derive special benefits from the companies MC or DT or their familes/empires own? IE Burmi goes to Birchwood Auto group and gets a vehicle for a steal of a deal because hes a Jet(and would probably get that same deal anywhere anyways)
     
  2. IU Hawks fan

    IU Hawks fan They call me IU

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    I wonder how much free booze the Hawks get from Wirtz Beverage Group :laugh:
     
  3. knorthern knight

    knorthern knight Registered User

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    This is probably a question for a lawyer, which I'm not. A few of the possible implications, off the top of my head, of any transactions that aren't "arms length" are...
    • would the player have to report it as taxable income?
    • would the team have to pay gift tax?
    • would it count towards team salary floor/cap spending?
    • would the CBA even allow it?
     
  4. kaiser matias

    kaiser matias Registered User

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    The possibility of an issue with this may be the reason that Burmistrov bought his vehicle from a dealership that Chipman didn't own. That way there is not doubt to the NHL or anyone involved that there is some underhanded measures going on.
     
  5. danishh

    danishh Registered User

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    kdb will probably show up with the actual language, but the basic gist of it in the CBA is that any transactions between the player (and their family) and the club/owner/owner's businesses must be done at a market rate, or else it is considered cap circumvention.
     

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