Saturday, November 3, 2012

Can Of Worms

Well before all this CBA drama took center stage, my prior blogs mention concerns with the KHL competing against the NHL.  The KHL continues to improve and this year is a haven for locked out Russian NHL players.  The oil-backed funding of many teams provides stars like Alex Ovechkin, Evgeni Malkin and Ilya Kovalchuk a good salary in their homeland.  Depending on the haircut these guys take on the final CBA agreement, it's quite possible a few of them may consider staying home.  After escrow, salary deduction resulting from the CBA and quality of life considerations are made, some players may determine that it is best to stay in the KHL.

The KHL is only five (5) years old, but they honor their contracts.  The NHL is increasingly being viewed by players as unstable given the recent lockout history.  In addition, the players are increasingly circumspect with regard to the contracts they sign.  The fact that owners negotiated long-term contracts during the CBA process is reprehensible.  If the players are asked to take a significant pay cut from an existing contract, breach of contract suits will become quite interesting as players decide to stay in the KHL.  This is where the can of worms comes in.

As Gary Bettman and the NHL geniuses continue to act like they are holding all the cards, the more they push HRR reductions the more they negotiate against themselves.

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