What is the actual requirement regarding guaranteed money?

[The Wiz]

5 minutes ago, aristocrat said:

So each team has roughly 200 mil in salary cap each year right? How much of that is guaranteed? So every year they have to deposit a certain amount in escrow based on guarantees on the roster.  It’s not like just the qbs get the huge guaranteed cash. Every player has a percentage 

After rereading what's Augie posted, I believe that it's only for "fully guaranteed contracts" and not guaranteed money with a full contract.

 

I very well could be wrong on my understanding of guaranteed money but that's how it sounds to me.

Edited September 9, 2023 by The Wiz

[Augie]

4 minutes ago, The Wiz said:

After rereading what's Augie posted, I believe that it's only for "fully guaranteed contracts" and not guaranteed money with a full contract.

 

But it says guaranteed money in this quote:

 

“Per current league rules, all future fully guaranteed money due in a player contract must be placed in escrow at the time the deal is consummated” That says money within the deal, not a 100% guaranteed contract. 

 

Then you have the “may” vs “shall” issue. What is the damn rule?  

 

 

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Edited September 9, 2023 by Augie

[The Wiz]

2 minutes ago, Augie said:

 

But it says guaranteed money in this quote:

 

“Per current league rules, all future fully guaranteed money due in a player contract must be placed in escrow at the time the deal is consummated” That says money within the deal, not a 100% guaranteed contract. 

 

Then you have the “may” vs “shall” issue. What is the damn rule?  

 

 

.

So then I would assume that is all guaranteed money from any player.  Similar to what aristocrat was asking.  The reality is that there is probably an escrow for most teams that is sitting with a quarter to half a billion dollars that gets picked from and deposited into on a regular basis because of restructures and paying out the guaranteed money as a bonus or signing new players and putting more money back into it.

 

Like I said, I would need to know when the rule was written because of the amount of money that is the norm now in the NFL and I would guess that the NFL assumes that the owners are going to put that money in to escrow (may) even though it's not necessarily required (shall).

 

Just how I interpret the rule.

[aristocrat]

5 minutes ago, The Wiz said:

After rereading what's Augie posted, I believe that it's only for "fully guaranteed contracts" and not guaranteed money with a full contract.

 

I very well could be wrong on my understanding of guaranteed money but that's how it sounds to me.

I’ve understood it to be guaranteed money for all the contracts. So each year a certain amount is in escrow. Now, the teams have their own attorneys so can it be in a team owned account where they get the interest on the account? L

[The Wiz]

7 minutes ago, aristocrat said:

I’ve understood it to be guaranteed money for all the contracts. So each year a certain amount is in escrow. Now, the teams have their own attorneys so can it be in a team owned account where they get the interest on the account? L

That's a banking question and whether or not the NFL has some sort of agreement with a specific bank but as far as I know, I've never heard of a bank letting you earn interest on an escrow account.  I'm sure it's possible but I would guess it would be pretty rare.

[Ridgewaycynic2013]

Until 100% of the money guaranteed is buried in a hole in my backyard, your 'guaranteed' ain't worth diddly. 🤨😁

[Augie]

4 minutes ago, Ridgewaycynic2013 said:

Until 100% of the money guaranteed is buried in a hole in my backyard, your 'guaranteed' ain't worth diddly. 🤨😁

 

Would you like to give us your address? 

 

Please?   

 

😋