NFL Transactions Whats Involved


nfl transactions

As the NFL continues to expand into markets that previously ignored the sport, teams have begun to look into new ideas to streamline their NFL transactions. While many teams still choose to go through the practice of carrying out normal trade and player moves via the conventional method, others are looking for innovative solutions. One such innovation involves the introduction of a new waiver system that works in conjunction with the NFL’s trade policy. Essentially, a team that wishes to waive a player (or several players) can do so with the help of the waiver system. Negotiations usually ensue once the initial wave of reporting has been sent out. Once these negotiations have been concluded, the player or players involved in the transaction can then return to their teams without having to worry about their NFL futures.

For example, the New York Giants recently signed former college running back LaDanian Tomlinson to a three year contract extension. Prior to signing the deal, the veteran running back had been let go by the San Francisco 49ers due to his inability to produce on the field. The Giants apparently made an aggressive attempt at luring other running backs to their camp through the draft – namely by dealing LaDanian Tomlinson to the Tampa Bay Buccaneers for a first round draft pick in April. While many observers were quick to criticize the move, others saw it as a move that served a greater purpose: securing the eighth overall pick in the upcoming NFL draft. As things stand currently, the eighth overall selection is currently held by the New York Giants.

An Overview

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Similar to the idea of the waiver system, negotiating trades using the “system” is becoming commonplace among some of the top professional football teams. In fact, many of the more prominent teams are actively pursuing these types of deals. The logic behind this strategy is simple: if a player has demonstrated that he or she can produce on the field, teams would be foolish not to use the full value of their salary cap to sign the player long term. While some believe that the current economic climate is too difficult to continue to attract top quality players, others believe that the high price of today’s top prospects is enough to maintain a level of competitiveness in the NFL. With the current trends in the housing market and the steep drop in oil prices, there is little reason for NFL teams to not continue to sign premium players.

One of the most interesting facets of the new NFL transaction policy is that all contracts will be open for renegotiation. That’s right – teams no longer just hold the player’s entire salary cap rights but can now negotiate with the player to simply reduce his or her contract. In essence, this means that while older players may be forced to play out their contract and accept less money per season, newer players have the potential to earn much more from their new teams by performing at a higher level of play. Of course, cutting one player’s deal is likely to result in another player being cut – and so it goes. In essence, it is a matter of trade offs that every team in the league must endure. However, the influx of free agents signing new contracts should significantly offset any negative impact on the overall salary cap of the league.

NFL Transactions Facts

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Another interesting aspect of the new NFL transaction policy is that all current contracts will remain intact. So even if a player decides to play next season elsewhere, his former team can still retain him via a modified pay scale that is designed to match his recent salary level. The compensatory factors involved in restructuring contracts are also still in place. Thus, teams can only cut their players so far before they lose them to other offers.

Unlike past NFL transactions, this one doesn’t seem to be impacted by the recent trend of owners placing limits on how much they can spend on signing new players. Instead, the NFL has opted to make the deals as easy to attain as possible. And since players are always in demand and teams are always in need of bodies, the whole process of trading for and off-loading players has been made even easier.

As the New York Giants recently showed, the typical NFL transaction has become much more complex and intricate. Even teams in the middle of large player deals are experiencing difficulty in properly handling the logistics of dealing with pending contracts. These difficulties became particularly pronounced when tight end Martellus Bennett was placed on the injured list with a dislocated shoulder. The Giants were not able to acquire any other players in order to make a run to the playoffs. Bennett is set to earn approximately six million dollars this year, making his trade value nearly double what it was before he went down with his injury.

The NFL is not the only league that has implemented such innovative methods of conducting transactions. Major League Baseball has also recently adopted a system where players are allowed to participate in trades even if they have yet to reach the age of 30. Owners have been known to allow players who have some real talent to acquire significant contracts even at the expense of giving up a few future arbitration cases or other perks. As the leagues try to find a way to improve their revenue stream, the focus has become ever more on efficiency. The result is that we may soon see many more transactions like the one that led to Bennett’s acquisition by the Giants.

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