Cash in trades

[loserX]

Hello, all:

I'm just looking for some clarification on this point from Larry Coon's site:

Players can be traded for cash, and cash can be included in trade packages. The amount of cash is limited to $3 million.

In a multi-team trade, does this mean that the TOTAL amount of cash transferred cannot exceed $3M?

Let's say there's a 4-team trade between Teams A, B, C and D.

1) Can Team A send out $9M dispersed among the other three teams so that they each receive $3M?
2) Can Teams A, B and C send out $3M each so that team D receives $9M?
3) Can Team A send $3M to Team B, while Team C sends $3M to Team D?
4) Or in each case is $3M the total amount of cash that can move regardless of the number of parties involved?

I have a feeling I know the answer, but my feelings have been wrong before. Thanks in advance for your help.

[answerthink]

The rule you are referring to actually states that a team shall not be permitted to receive more than $3 million in cash in connection with any trade. This should enable you to answer all your questions.

The language can be found in Art VII, Sec 8a.

[loserX]

The rule you are referring to actually states that a team shall not be permitted to receive more than $3 million in cash in connection with any trade. This should enable you to answer all your questions.

Ah, so the rule only covers receipt. So hypothetically a team could take part in a 6-team trade and send out $15M cash without violating the CBA, as long as each of the 5 receiving teams takes no more than $3M. Correct?

[HartfordWhalers]

The rule you are referring to actually states that a team shall not be permitted to receive more than $3 million in cash in connection with any trade. This should enable you to answer all your questions.

Ah, so the rule only covers receipt. So hypothetically a team could take part in a 6-team trade and send out $15M cash without violating the CBA, as long as each of the 5 receiving teams takes no more than $3M. Correct?

My understanding is that trades have been/can be decomposed into two technically separate trades, allowing a team to receive 6, but I don't have a cite off the top of my head.