NHL rejects Kovalchuck contract
Ilya Kovalchuck’s record deal with the New Jersey Devils has been rejected by the NHL, according to league sources.
Kovalchuck had agreed to an unprecedented 17-year $102million deal with the Devils on Monday but just a day later the NHL has ruled the contract void because it breaks the salary cap rules.
According to reports the NHL voided the contract because the last few years of the deal were only added to lower the hit against the salary cap - the last five years of the deal were scheduled to pay the Russian just $550,000 a year.
If the contract had passed approval from the league, Kovalchuck would have earned $98.5million in the first 11 years of the contract. If he plays the full length of his contract - and no-one expects him to play the last five years – Kovalchuck would be 44.
The deal as it stands would have paid the 27-year-old $6million in the first two seasons, $11.5million the next five, $10.5million in 2017-18, $8.5million the year after, $6.5million in 2019-20, $3.5million the following year and $750,000 in 2021-22 before the last five years are worth only $550,000.
Kovalchuck can appeal the decision and the players union has five days to launch a complaint and appeal the decision. If that happens, an arbitrator both sides are happy with and who is familiar with the NHL’s collective bargaining agreement will be appointed to rule on the decision.
This isn’t the first time a team has front loaded a contract and added on extra years to lower the average annual value of the deal. Johan Franzen signed with the Detroit Red Wings for 11 years $43.5million ($3.9million cap hit), Henrik Zetterberg signed with Detroit for 12 years $73million ($6million cap hit) and most recently Boston signed Marc Savard to a seven-year $28.05million deal, taking just a $4million salary cap hit.
Kovalchuck scored 41 goals and 44 assists last season for the Atlanta Thrashers and Devils but only managed two goals and four assists in New Jersey’s loss in the play-offs to Philadelphia.
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