Kukla's Korner Hockey

Kukla's Korner Hockey

High Escrow An Issue For NHL Players

01/23/2015 at 12:29pm EST

from Rick Westhead of TSN,

When Bettman predicted the $73 million cap, he was likely assuming that the NHLPA would, as it has done consistently in past years, opt to trigger a five per cent cap inflator.

Pushing the overall salary cap limit higher drives up the amount of money available for potential free agents - bad news for a spartan free agent class this summer that’s headed by Martin St. Louis - but it also leads to higher escrow collections for all players.

Players have become increasingly conflicted about this, several NHL player agents say.

“Players are worried about paying additional escrow,” Ian Pulver, a former NHLPA executive and current player agent said in an interview. “It’s a vicious cycle. Over the course of 10 years, players have voted to increase the cap, to ride with increasing revenue.”

Pulver said it would be a mistake not to trigger the escalator clause.

"Because there are a couple of bumps along the way shouldn’t mean the players shouldn't continue to increase the cap and force the major players — the NHL, the clubs and the NHLPA - to grow revenues. To vote against the increase of the cap because of a fear of escrow runs counter to the collective good and common sense."

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Paul Kukla founded Kukla’s Korner in 2005 and the site has since become the must-read site on the ‘net for all the latest happenings around the NHL.

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