Edmonton Oilers
An Unusual Deadline Could Add Pressure to McDavid Contract Talks
Explore the significance of a McDavid deferred salary contract deadline and whether it will affect his talks with the Edmonton Oilers.
NHL insider Frank Seravalli pointed out a fascinating date on the Connor McDavid negotiations front. Monday afternoon, Seravalli got into a discussion about the timeline of a McDavid extension and said that seven days from today was a date (and a potential deadline) to watch on the calendar.
October 6th is the final date for NHL players to sign deferred salary contracts. Beyond that date, no player can sign that kind of contract. Does that impact Connor McDavid? Maybe not. However, NHL insider Frank Seravalli was a guest on Oilers Now and hinted this could be something to watch in the McDavid negotiations.
He wanted to impress that he was not saying McDavid is looking at a deferred salary, but did note that this was the kind of extension that could serve two purposes: bring the AAV down and get McDavid all of his money.
Seravalli used the example of a $120 million, eight-year deal. McDavid could defer as much as $40 million on that deal, bringing his contract down to a $10 million annual average salary cap hit instead of $15 million per season.
Deferred salary in the NHL means a player agrees to get part of their money later instead of all at once. For the team, it lowers the player’s current salary cap hit, giving them more room to sign other players. For the player, it can provide guaranteed payments after retirement or help manage taxes. Basically, the team spreads out the cost, and the player spreads out when they get paid.
Most players don’t want anything to do with deferred salaries, and they are extremely rare. They are a part of the CBA that the NHL has decided to do away with and Leon Draisaitl was reportedly asked when he signed his extension and had absolutely no interest in considering the option.
Beyond that, Seravalli said that if McDavid doesn’t sign by the start of the season, he’s not sure what the next leverage point would be for the Oilers to get their captain signed to an extension.
Next: Insider Says Oilers Could Carry 5 Rookies on Opening Night
More News
