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Leagues and Governing Bodies

Payments To NHL Teams, Players Delayed Over Hockey-Related Income Dispute

Revenue-sharing payments to NHL teams and the refunding of player escrow overpayments are "delayed indefinitely" because the league and the NHLPA "haven't agreed on hockey-related revenue figures for 2010-11," according to Kevin Allen of USA TODAY. This marks the "first time since the salary cap was introduced six years ago that checks weren't issued by the end of October." There "have always been disputes over what counts as hockey-related revenue, but this squabble is drawing more notice because it has taken more time and involved a larger amount of money." Also early next year, the NHL and the NHLPA "will begin negotiations on a new" CBA. The money involved is "substantial because the league collected roughly $200 million (12.4% of each contract's face value) from players, and probably three-quarters of that money will be returned to players." If the issue "goes to arbitration, it theoretically could delay matters 45 to 90 days." But the NHLPA "likely would request an expedited arbitration process" (USA TODAY, 11/1). In Boston, Kevin Paul Dupont wrote, "What is the NHL Players Association's key objection to the way the league is factoring hockey-related revenue? I am told it's the $25 million the city of Glendale, Ariz., hands over to the league each season the Coyotes show a loss exceeding that amount." The current CBA, agreed to in '05, "didn't include fine print for that kind of 'ancillary' cash." Provided business "doesn't change dramatically for the Coyotes, that alone will amount to a $50 million chunk by the end of this season, which makes it a beefy bone of contention" (BOSTON GLOBE, 10/30).

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