ARB CONTRACTS
All pre-arbitration extensions must be at least 80% of the player's arbitration estimate at the time of signing.
Example:
Player's arbitration estimate for 2023: $5 milliom
Correctly structured contract extension: 2023 $4m, 2024 $4m, 2025 $4m or 2023 $3m, 2024 $4m, 2025 $5m
Incorrectly structured contract extension: 2023 $1m, 2024 $1m, 2025 $1m
Contracts will be reviewed and altered to meet the minimum 80%
If a player has gone through an arbitration hearing, the buyout of each future arbitration eligible year must be equal to or greater than the amount awarded to the player.
Example:
Player was awarded $7 million in arbitration in 2022
Correctly structured contract extension: 2023 $7m, 2024 $7m, 2025 $7m
Incorrectly structured contract extension: 2023 $6m, 2024 $7m, 2025 $8m or 2023 $4m, 2024 $5m, 2025 $6m
Contracts will be reviewed and altered to equal arbitration award