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There have been two fairly substantial signings (IMO) of once amnestied players (Birdman and Blatche) who signed for less than market value.

Neither were originally claimed through the amnesty provision but were later signed to 1 year deals. In both cases the players played well and IMO earned further consideration but then signed for min deals.

Do the original 1 year deals or subsequent contracts that take place during the amnestied (paid by prior team) period offset the amounts paid? It would explain why they quickly resigned at under market value (if they weren't going to get the money anyhow). However, I can't see anywhere that their new contracts would be paid to their previous employer and it appears to me that any income they receive would be their own.

So where does the money go?

TIA

From what I understand of the provision, the new team pays a player his salary (X), and that number is taken out of what is owed from the team that amnestied him. So if a guy making 12 mil a year is amnestied, goes through waivers, and picked up for 2 mil a year, the amnestying team pays the remaining 10 mil. The other option is if the player is picked up through a full waiver claim, but that involves paying the whole initial salary which doesn't seem to be the case you are asking about.

Andersen and Blatche are both earning continued salary from the teams that amnestied them.

They will double-up when they officially sign their new contracts. But not entirely. The teams which amnestied them will be allowed to reduce the amount of money they still owe by a commensurate amount. This is called the right of set-off.

It is not a straight dollar-for-dollar offset. When a player is claimed off amnesty waivers, it is a straight dollar-for-dollar offset. But neither Andersen nor Blatche was. They cleared waivers, became unrestricted free agents, and were subsequently signed. Therefore, a different set of rules applies. The amount the teams that amnestied them would get to set off is equal to one-half the difference between their new salary and the $788,872 minimum salary for a one-year veteran. So, to figure their combined total compensation, the formulas would be as follows:

1. Set-off Amount = (New Salary – $788,872) / 2
2. Total Compensation = Salary from Team That Amnestied Them – Set-off Amount + New Salary

Though this is shameless self-promotion and I apologize profusely for it (will even delete the link if people prefer), here is the math for Andersen explained in detail: http://heathoops.com/2013/06/analyzing- ... -andersen/

answerthink wrote:Andersen and Blatche are both earning continued salary from the teams that amnestied them.

They will double-up when they officially sign their new contracts. But not entirely. The teams which amnestied them will be allowed to reduce the amount of money they still owe by a commensurate amount. This is called the right of set-off.

It is not a straight dollar-for-dollar offset. When a player is claimed off amnesty waivers, it is a straight dollar-for-dollar offset. But neither Andersen nor Blatche was. They cleared waivers, became unrestricted free agents, and were subsequently signed. Therefore, a different set of rules applies. The amount the teams that amnestied them would get to set off is equal to one-half the difference between their new salary and the $788,872 minimum salary for a one-year veteran. So, to figure their combined total compensation, the formulas would be as follows:

1. Set-off Amount = (New Salary – $788,872) / 2
2. Total Compensation = Salary from Team That Amnestied Them – Set-off Amount + New Salary

Though this is shameless self-promotion and I apologize profusely for it (will even delete the link if people prefer), here is the math for Andersen explained in detail: http://heathoops.com/2013/06/analyzing- ... -andersen/

Terrific explanation. Thank you.