Are there certain conditions that must exist for a team to terminate a player`s contract? The Rangers signed Tony DeAngelo to a two-year contract and simply released him. If he is not claimed and they do not want him, can they terminate his contract or buy him in some way? The 2005 NHL-NHLPA Collective Agreement (CBA) introduced “reinstatement exemptions”. With a few exceptions, any player who has been waived before being assigned to minors must grant reinstatement exemptions before being recalled if they have a one-way contract or a two-way contract with a salary of more than $105,000 in the AHL. The exceptions are players who have played more than 320 professional games (180 for goaltenders) and who have not spent more than 80 games on an NHL roster in the past two seasons or 40 games in the preseason. The procedure for filing an application for exemption from return is the same; However, teams that claim players with re-entry exemptions are only responsible for half of the salary and cap affected, while the original team is responsible for the other half, unless the claimed player is then reclassified to the AHL before his contract expires, in which case the salary and cap come from both teams` books. So let`s say that Leipsic`s behavior toward the Capitals is a substantial breach of contract. Given Leipsic`s termination of the contract, the question arises: “Would the Capitals have felt the same if it had been a different player, say John Carlson or Evgeny Kuznetsov?” Well, if we talk about Evgeny Kuznetsov, we already know the answer. In September 2019, Kuznetsov was suspended for three games for “inappropriate behavior.” This inappropriate behavior surfaced through a leaked video. The video showed Kuznetsov sitting at a table with cocaine in front of her. Whether Leipsic`s leaked screenshots are better/worse than Kuznetsov`s leaked video is not for us to determine. If an NHL player is sent to an NHL affiliate in the AHL after the 2005 CBA and passes through waivers and compensation, his salary will not count towards the salary cap of the respective NHL team.
The player always receives his full salary. There is an exception to this rule. If the player has a contract that came into effect after a player`s 35th birthday, that player`s salary will still count towards the NHL cap. According to the 2013 CBA, a team only saves a certain amount of money when it demotes a player to the AHL with a one-way contract. These savings are calculated as a league minimum plus $375,000. Aside from the fierce opposition expected from Richards and the NHLPA, it was the perfect storm. Richards was below average when it came to his contract, the Kings reportedly tried to get out of his contract for some time, and he managed to get into trouble just before the start of the NHL`s free agency period. The arbitrator`s decision will likely depend on his or her interpretation of what constitutes a “material breach.” The Supreme Court of Canada has already ruled that “a violation that is `significant` or goes to the root of the treaty is often also described as a significant violation.” (Guarantee Co. of North America v.
Gordon Capital Corp, [1999] 3 SCR 423). Richards and the NHLPA can now request that the termination be reviewed by an independent arbitrator. If you`ve been following our blog, you may remember our article about Jake Dotchin and the Tampa Bay Lightning that the NHL Standard Player (“CPS”) contract, although it is generally considered a guaranteed contract (as opposed to the NFL), meaning the team can`t just unilaterally terminate the SPC, includes an “out” provision for significant violations, as well as other provisions, providing for applicable sanctions, including suspensions. If you haven`t read this article, check it out here. The SPC is the draft contract set out in the NHL`s collective agreement (“CBA”) that every team and player must use. You may also recall that a “substantial breach of contract” in a CCP seems to be a very ambiguous standard that the CPS, history, and precedent do little to define. Well…… Here we go again. All of this leads to Friday`s announcement that both sides have agreed to terminate each other`s contract, leaving $14 million on the table. As a general rule, an NHL team that wishes to terminate a player`s contract must pay the balance due to the player and receive a penalty from the league that limits the amount the team can spend in the coming years below the league`s salary cap. The Kings apparently dodged both episodes. This is especially true since the NHL has a comprehensive substance abuse policy focused on rehabilitating players.
The arbitrator may not be satisfied with the Kings` apparent attempt to circumvent this policy if the termination is in fact due to an incident involving oxycodone. .