Posts Tagged NHL Decertification

Toronto and Montreal in on future WJC … NHL cancels games … Player contracting rights … Video on decertification

  • TSN: The NHL cancelled games through December 14th, and the 2013 All-Star Game in Columbus.
  • Pierre LeBrun of ESPN: From a source on what the NHL has offered with regards to player contracting rights:

    On main areas:

    (1) offered to give back the year in ELS (NHL has moved from 2+3 to 2 and now back to 3).
    (2) dropped/withdrew request for mutuality of Salary Arb rights but maintained request for extra year to Salary Arb, also offered to synchronize timing of Club-elected Salary Arbs as per NHLPA request.
    (3) suggested willingness to be flexible of 5% contract variability proposal but maintained request for 5 year term limits on contracts.
    (4) maintained request for extra year to free agency, but gave on UFA interview period and pointed out that 3 year EL deal plus 5 year max contract puts Player right into UFA for their third contract
    (5) embraced Union’s request to allow retained salary in trades subject to upwardly revised parameters
    (6) embraced Union’s request for Payroll Range determined as a percentage of Midpoint as opposed to flat $16 million
    (7) embraced Union’s Cap Advantage Recapture concept subject to several minor modifications and application to existing long-term contracts
    (8) agreed to eliminate Re-Entry Waivers
    (9) Performance Bonus Cushion in every year of new agreement
    (10) extension of No Move/No Trade clauses to last year of “extended” SPC

    other “system-related things” league has agreed to:

    (1) no Union guarantee of Escrow shortfall and more discretion to Union in setting Escrow rate
    (2) increase in Playoff Pool
    (3) mechanism to allow for Cap exception for recalled players for roster emergencies
    (4) changes to waiver rules for Emergency recalls and mid-season European signings
    (5) agreement to continue increasing Minimum Salaries over life of new CBA
    (6) Lower Limit to be satisfied without regard to performance bonuses
    (7) agreed to limitations on “second/salary arb” buyout provisions
    (8) agreed to re-work Critical Date Calendar
    (9) $60 million Cap in Year 1 (with transition rules allowing Clubs to go to $70.2 million for full year) and guaranteed cap of $60 million in Year 2 even though HRR formula would have provided for lower Cap

  • Gabe Feldman (@SportsLawGuy) via twitter: (responding to Dreger and Aurthur’s decertification talk yesterday) “NBPA & NFLPA voted to disclaim interest, not decertify. Both dissolve union. Analysis hereGoing distance could take yrs & $$$ w wildly unpredictable result. But that possibility could spur settlement or PA could get court to enjoin lockout. Or not. Hope is that any of these will be enough to push sides to deal.”
  • SportsNet’s Hockey Central explains a bit of what decertification means.

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Three CBA related issues that will come up soon, including Decertification

  • Bob McKenzie of TSN: There are three CBA related issues that will be talked about soon. 1. More Cancellations – more games, along with the All-Star Game, could be cancelled today. 2. Shrinking or disappearing “Make Whole” dollars –  The owners last offer had ‘make whole’ at $211 million, the players countered with $326 million. At some point the owners could start cutting down the $211 million or eliminate entirely. The ‘make whole’ was originally based on a 82 game schedule. 3. Decertification- During Wednesday night’s conference call, decertification could be the next play for the players, and could be a reality soon. To get the process going, a third of the members have to sign a petition, then it would go vote. 51 percent would then need to vote in favor of decertifacation. If majority ruled, there would be no more NHLPA. The players would then need to file a preliminary injunction in court that would basically say the lockout is illegal, if the court agreed with them.

    What’s that mean in English? The lockout would be considered illegal. No draft, no salary cap, no real rules of any kind, in theory. Potentially, it’s chaos. Often times, the mere threat of decertification and going down that uncertain road is what pushes together warring CBA factions.

    There is no guarantee that the court would agree with the players, the NFL players lost three times after initially winning their case.

  • David Johnson (@hockyanalysis) via twitter: Johnson notes to Mirtle that a logical solution is the NHL economics with few changes to player contracting rights or NHLPA economics with more restrictions to player contracting rights.
  • Darren Dreger via twitter: Dreger says that you can kiss the season goodbye if decertification option is the choice, though he still needs to learn more about it. Dreger was asking around on Wednesday about it, and no one could say why it was a possible play at this point. Bruce Arthur via twitter: Arthur points out to Dreger that the NBA decertified in mid-November and had a new CBA two weeks later. Dreger responds that he knows it can work, but NHL reactions is it “would be death knell for the season.” Arthur notes that they’ve seen how it unfolded for the NBA, and “would be foolish to treat it any other way.” The NBA went to court to decertify. Antitrust lawsuits were launched by specific players on Nov. 14th and a tentative new CBA was in place by Nov. 26th. Responding to Dreger’s questions, the NBA may not have went to a league wide vote (he can’t recall exactly) and the lawsuits were easily withdrawn. The “key part of decertification is it opens the antitrust door. Season’s only doomed if league goes to court.”

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