Rule Change: Contract Options

[EastCoastGonzo]

Currently we have straight contract of 1 - 5 years for MLB, this would introduce the ability to give a club-option on a FA contract.

Rule Change:

The General Manager may include an option year on any contract. A team option can only be 1 year and is worth the same amount as the yearly salary. If an option is declined the buyout cost is 33% of the contract year.

Example, signed SP Anthony DeSclafani to a 3 yr / $19,069,000 with a 4th year option. That 4th year is worth $19,069,000, if it is declined takes a $6,292,770 cap hit.

[ldsjayhawk]

I would like to make some points about options

1) Options need to be valued lower because they are not guaranteed.  A team who offers a 2 yr contact with an option should be less valuable than a 3 yr contact.

2) If you're going to do a team option you should also do a player option as well.  Not sure if that's what is meant by the opt out, but they're generally different.  Also, I think if you're going to do options, we should consider the vesting option, which is based on playing time.

[Brent]

The whole point in an option is whether or not to pick it up or not.  If it's not picked up then it should be $0 cap hit and the player becomes a FA. 

[EastCoastGonzo]

I would like to make some points about options

1) Options need to be valued lower because they are not guaranteed.  A team who offers a 2 yr contact with an option should be less valuable than a 3 yr contact.

2) If you're going to do a team option you should also do a player option as well.  Not sure if that's what is meant by the opt out, but they're generally different.  Also, I think if you're going to do options, we should consider the vesting option, which is based on playing time.

1. Completely agree. A guaranteed contract would always beat a contract with an option when it came to FA bidding.

2. I would say it's difficult to do a player option since we don't have real players, but I guess you could flip this mechanic. So if the player finishes in a certain percentile then they exercise their option, though that is almost more of a vesting option. But I'm not sure there would be a benefit for GM's to give a player option in our structure.

[EastCoastGonzo]

The whole point in an option is whether or not to pick it up or not.  If it's not picked up then it should be $0 cap hit and the player becomes a FA.

In MLB a team option almost always comes with a buyout if its declined and that buyout is always guaranteed.

[indiansnation]

I agree with eastcoast.