NHL challenging the NHLPA over legal contracts is nothing new

kovalchuklouvanderbeek.jpgBelieve it or not, there’s actually some history with the NHL and the NHLPA when it comes to bickering over the legality of contracts. I know, this is really mind-bending news to get on a Sunday morning but it’s true and the New York Post’s Larry Brooks is once again spending his Sunday skewering the NHL over their decision to challenge Ilya Kovalchuk’s 17-year, $102 million contract with the New Jersey Devils.

This time, he has another fascinating read telling us about how the NHL challenged the contracts of Rob Blake, Joe Sakic and Pierre Turgeon in 2003. The contracts then were sent to arbitration because they were trying to pay those players during the eventual labor stoppage in 2004-2005 through signing bonuses. Much like with the Ilya Kovalchuk case, there are some very obvious similarities.

Signing bonuses were legal under the old CBA just as long-term, front-loaded contracts are legal under this CBA. Indeed, the league routinely registered contracts containing signing bonuses without protest, just as the league routinely has registered long-term, front-loaded contracts.

Suddenly, though, the NHL had problems with the Sakic, Blake and Turgeon contracts. The testimony given by Bill Daly, then the league’s senior VP and now its deputy commissioner, under questioning from arbitrator Joan Parker, is instructive and on point as it relates to the Kovalchuk issue.

Parker asked Daly what standard the league applied to determine whether a signing bonus would be considered illegal.

“The standard is . . . we have an internal discussion about it, that there’s an intent on behalf of the contracting parties to guarantee a part of the contract. And the standard we have been applying is a significant part of the contract for a potential [2004-05] work stoppage,” Daly said.

“It’s a materiality test. . . . There are a number of different [contract/signing bonus] structures we’ve seen. When it’s generally reasonable we have registered contracts in that scenario. When it’s clear on its face that the parties were expressly attempting to essentially guarantee part of the contract during a work stoppage, at least in our mind, we have rejected the contracts.”

What this boils down to is that the teams and the players are more than well aware of what the current situations are and were in these cases, it’s just that there’s nothing in the collective bargaining agreement there to stop anyone from doing anything about it. As arbitrator Joan Parker noted in 2003:

“The difficulty Daly had in articulating the standard by which the League challenged the Blake, Sakic and Turgeon [contracts] is troublesome, particularly because several provisions of the Collective Bargaining Agreement suggest that Clubs and players have substantial flexibility to negotiate compensation packages as they wish.”

How did the league fare in their squabble with Blake, Sakic and Turgeon? Brooks tells us and then hits it out of the park.

Joan Parker ruled for the NHLPA and against the NHL in the case of Sakic, et al, rebuking the league for attempting to gain collective bargaining goals through arbitration.

Seven years later, the league has reapplied its beautiful-mind litmus test to front-loaded contracts, trying to win something now it could not win last time in collective bargaining.

The standard is simple. If Bettman doesn’t like it, the league tries to stop it. Only the arbitrator has the power to stop Bettman.

A bit dramatic, yes, but it’s important to note how strong the arbitrators role in this whole mess with Kovalchuk actually is. A decision in favor of the NHL would set a dangerous precedent because it would essentially be putting a previously unknown qualifier in the current collective bargaining agreement and essentially set the table perfectly for a monstrous labor battle in 2012. Things should prove to be interesting as the Kovalchuk contract hearing is slated to begin this week.

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    Brennan, Granberg among list of players put on waivers

    VANCOUVER, BC - MARCH 14:  T.J. Brennan #25 of the Toronto Maple Leafs skates with the puck in NHL action against the Vancouver Canucks on March 14, 2015 at Rogers Arena in Vancouver, British Columbia, Canada.  (Photo by Rich Lam/Getty Images)
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    Veteran defenseman T.J. Brennan lit up the American Hockey League last season, with 25 goals and 68 points in 69 games to earn a two-way deal from the Philadelphia Flyers in July.

    That deal came only three months after he received the Eddie Shore Award as the AHL’s top defenseman.

    But on Friday, he was placed on waivers by the Flyers, as per Renaud Lavoie of TVA Sports, and is available to be claimed by another NHL team within a 24-hour span.If not, he can be reassigned to the minors.

    Still, for Brennan, he chose this summer to remain in North America for a chance at the NHL. It was reported in June that he had received a “lucrative” offer from a KHL team, leading to talk he could take his talents to that league for the 2016-17 season.

    That was before his deal with Philadelphia.

    Petter Granberg of the Nashville Predators was also waived Friday.

    Granberg, a 24-year-old depth defenseman, and the Predators were able to avoid arbitration this summer when the two sides agreed to a two-year, two-way, $1.225 million contract. It was suggested that he could take on more responsibility with the Predators this upcoming season.

    In total, 25 players were placed on waivers Friday (check out the list here, here, here and here). Also on that list is former first-round pick Jordan Caron, who was waived by the St. Louis Blues.

    Sharks prospect Meier out four weeks with mononucleosis

    SUNRISE, FL - JUNE 26:  Timo Meier poses for a portrait after being selected ninth overall by the San Jose Sharks during the 2015 NHL Draft at BB&T Center on June 26, 2015 in Sunrise, Florida.  (Photo by Mike Ehrmann/Getty Images)
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    The San Jose Sharks have revealed the illness that prospect forward Timo Meier has been dealing with during training camp.

    A statement from Sharks general manager Doug Wilson:

    Timo Meier is expected to be unable to play in any NHL or AHL games for approximately four weeks after being diagnosed with mononucleosis. He will remain in the Bay Area where he can skate and train as his recovery allows.

    It was reported yesterday that Meier, selected ninth overall in 2015, had been held off the ice for five straight days due to the illness. It was also noted that his time away could open the door for other prospects to perhaps crack the roster.

    The fact he’s expected to be out for up to four weeks means that, unless something changes, he won’t be ready for the start of the regular season.

    On Friday, prior to the Sharks providing an update on his illness, the San Jose Mercury News reported that Meier skated with his teammates earlier in the day.

    “I’m trying to stay positive,” said Meier. “I’ve only missed preseason games and obviously, still trying to make the team. But I still have some time and I’ll try to make the most of it once I’m back.”

    Byfuglien leaves Jets preseason game with lower-body injury (Updated)

    WINNIPEG, MB - FEBRUARY 11: Dustin Byfuglien #33 of the Winnipeg Jets prepares for the faceoff in second period action in an NHL game against the Boston Bruins at the MTS Centre on February 11, 2016 in Winnipeg, Manitoba, Canada. (Photo by Marianne Helm/Getty Images)
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    The Winnipeg Jets will be without defenseman Dustin Byfuglien for the remainder of Friday’s exhibition game versus the Edmonton Oilers.

    The Jets announced that Byfuglien will not return for the third period due to a lower-body injury.

    Byfuglien was involved in a scuffle with Matt Hendricks earlier in the game. Ken Wiebe of the Winnipeg Sun reported on Twitter that Byfuglien went to the dressing room during the off-setting penalties.

    Update: The Jets later announced that Byfuglien was held out of the remainder of the game for “precautionary reasons.”

    NHL’s participation in 2018 Olympics still undecided, but World Cup expected to return in 2020

    TORONTO, ON - SEPTEMBER 29:  Sidney Crosby #87 of Team Canada carries the World Cup of Hockey Trophy after Canada defeated Europe 2-1 during Game Two of the World Cup of Hockey final series at the Air Canada Centre on September 29, 2016 in Toronto, Canada.  (Photo by Bruce Bennett/Getty Images)
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    TORONTO (AP) The World Cup of Hockey will return, without a doubt, and avoid another 12-year break.

    NHL Deputy Commissioner Bill Daly and NHLPA Executive Director Don Fehr both confirmed for The Associated Press on Friday that they expect the next World Cup of Hockey to be in 2020.

    It is much less certain whether the best players will go to South Korea to participate in the 2018 Olympics.

    International Ice Hockey Federation President Rene Fasel told the AP on Tuesday the odds of NHL players going to the Pyeongchang Games were 50-50, a slight upgrade from his forecast in May.

    Later the same day, Daly said he felt more “negative,” about the chances the league’s players will be in a sixth straight Olympics due to the International Olympic Committee’s decision to not pay for NHL players’ travel and insurance as it has in the past.

    Fehr, who represents players who have made it clear they want to be in the Olympics, said he’s more optimistic than pessimistic a deal will get done.

    Related:

    Daly: NHL could skip 2018 Olympics and return in 2022

    Alex Ovechkin again says he plans to play in 2018 Olympics even if NHL doesn’t participate

    The union head insisted he isn’t concerned about the IOC’s stance.

    “Everybody understands that nobody’s going to risk their career and future earnings and all the rest of it in return for no compensation and no coverage,” Fehr told the AP. “No one will do that. They understand that. That’s been a given for a long, long time. If it plays out that way, which I do not expect it to play out that way, we’ll deal with it.”

    The IOC isn’t buying the banter.

    “I think both sides are playing poker,” president of the International Ski federation Gian Franco Kasper, who represents winter sports on the IOC executive board, said Friday in an interview with the AP.

    The IOC does not want to continue its past practice of paying for NHL players’ travel and insurance because it doesn’t want to have to do the same for athletes in other sports.

    Fasel said it is his job to raise the money needed, which he estimates to be about $10 million. Fasel said he plans to “beg,” for the funds from national Olympic committees and hockey federations. He acknowledged using some of the $40 million the IOC gives the IIHF to fund its programs, including development opportunities for boys and girls, could be used to bring the best hockey players to South Korea.

    Daly said the NHL would like a final decision to be made by the end of the year so that it can set the 2017-18 schedule with or without a break midway through the slate for the Olympics.

    The World Cup of Hockey, which the NHL and NHLPA teamed up to bring back for the first time since 2004, does not conflict with the league’s schedule because the games were played during training camp and early preseason games.

    Playing hockey in late September, however, is not an ideal time to draw TV viewers in the U.S. in part because of interest in the NFL, college football and baseball.

    Game 1 with Canada and Team Europe in the World Cup finals on Tuesday night – without direct competition from football – drew just 494,000 viewers on ESPN. A mere 297,000 people tuned in to watch Sweden face Europe in the semifinals on Sunday afternoon on the cable network. With a potentially interesting matchup with Canada and Russia, just 353,000 were watching hockey on ESPN.

    Daly acknowledged it was a “challenge,” to engage Americans enough to watch the event. It did not help that the U.S. and North American Under 23-teams didn’t make it to the semifinals of the eight-team tournament.

    It was also, surprisingly, difficult to fill seats at the home of the Toronto Maple Leafs despite being in hockey hotbed even though the league said ticket sales went very well. It seemed many more people were interested in attending Toronto Blue Jays games when world-class hockey matchups and playoff-push baseball games were played at the same time.

    The level of hockey, at times, was impressive. And, the atmosphere was electric when Canada rallied from a one-goal deficit in the final few minutes Thursday night to beat Europe 2-1.

    During many stretches of play, however, the World Cup of Hockey didn’t do enough to fire up fans in attendance.

    Days before Canada beat Europe 2-0 in the best-of-three series to win the World Cup, Canadian coach Mike Babcock seemed to sum up the situation best.

    “The World Cup is great. It’s not the Olympics,” Babcock said in an unsolicited comparison of the two events. “Let’s not get confused.”