Compensation for Loss of Article XX-B Qualified Player

An Article XX-B free-agent is designated a "Qualified Player" if the player spent the entire immediately-preceding MLB regular season on a club's MLB Active List (25-man roster) and/or on one or more of the club's inactive lists (7-day, 15-day, and/or 60-day Disabled List, Military List, Bereavement List, et al) and/or on the Active List or an inactive list (7-day or 60-day Disabled List, Military List, Bereavement List, et al) of one or more minor league affiliates of that club, and the club offers the player a guaranteed contract (known as a "Qualifying Offer") for the following season. 

The Qualifying Offer must include a salary at least equal to the average salary of the 125 highest-paid MLB players from the previous season. The exact amount of the average salary of the 125 highes-paid MLB players from the previous season will be communicated by the MLB Labor Relations Department (LRD) simultaneously to all MLB clubs and the Major League Baseball Player's Association (MLBPA) within ten days after the conclusion of the MLB regular season. 

2016 QUALIFYING OFFER MINIMUM SALARY: $15.8 M 

To be valid, a Qualifying Offer must be extended by a club no later than 5 PM (Eastern) on the 5th day after the final game of the World Series. The LRD then provides the MLBPA with a list of players receiving valid Qualifying Offers and the amount of each offer.    

CUBS ARTICLE XX-B QUALIFIED PLAYERS POST-2015: (last updated 2-25-2016)
Dexter Fowler, OF (offer declined 11/13 - re-signed with CUBS 2/25)

The Qualified Player has until 5 PM (Eastern) on the 7th day after receiving the offer to decide whether to accept or decline. If the Qualified Player accepts the offer, he is considered "signed" and must be immediately added back to his club's MLB Reserve List (40-man roster). If he declines the offer, the player is free to sign with any MLB club, including his former club.

A club receives one compensatory draft pick between the 1st and 2nd rounds in the next MLB Rule 4 Draft (First-Year Player Draft) if the Qualified Player subsequently signs a Major League contract with another MLB club. If more than one club receives this type of compensatory pick, the draft order for the picks is the same as it is for all other rounds in that draft (clubs select in inverse order of league standings from the previous season, and in the case of two clubs finishing with the same record the previous season, league standings from two seasons back will be used to break the tie, and if If the clubs are still tied, league standings from three seasons back, four seasons back, etc, will be used to break the tie).

MLB clubs are not permitted to extend a Qualifying Offer to an Article XX-B MLB free-agent if the player has agreed in advance to decline the offer so that the club will obtain a compensatory draft pick once the player signs with another club.

An MLB club that signs a Qualified Player forfeits its 1st round selection in the Rule 4 Draft, unless the club selects in the Top 10 of the 1st Round, in which case the club would forfeit its next-highest pick. NOTE: In determining whether a club would forfeit its 1st round draft pick, the ten "protected" picks at the top of the 1st round would NOT include any compensation draft pick received by a club for failing to sign a 1st round draft pick from a previous draft.

The next highest draft pick (or draft picks) will be forfeited if the club signs more than one Qualified Player (one draft pick forfeited for each Qualified Player signed). Draft picks subject to forfeiture include the club's own Rule 4 picks, compensatory draft picks awarded to the club after losing an Article XX-B Qualified Player, and draft picks that were awarded as the result of the Competitive Balance Lottery or as the result of the Rule 4 SBP Forfeited Draft Pick lottery (including any lottery draft pick originally awarded to another club and then subsequently acquired in a trade). A compensatory draft pick awarded to a club for failing to sign a pick from a previous Rule 4 Draft is NOT subject to forfeiture. NOTE: A Rule 4 Draft pick forfeited as the result of a club signing a Qualified Player is not transferred to any other club (it just disappears).

A Qualified Player who signs a Major League contract after 11:59 PM (Eastern) on the 5th day after the final game of the World Series receives automatic "no trade" rights that extend through June 15th of the following season, even if the player re-signs with his former club. A Qualified Player who receives "no trade" rights this way can waive the right, but if he does, his club can trade the player only for player contracts and/or cash with a maximum aggregate value of $50,000.

If a Qualified Player signs a Major League contract with a new club after the MLB Rule 4 Draft, or if a Qualified Player signs a minor league contract with a new club and either remains in the minor leagues or is later added to the new club's MLB 40-man roster, the player's new club does NOT forfeit a Rule 4 Draft pick, and the player's former club does NOT receive Rule 4 Draft pick compensation. However, MLB clubs are not permitted to sign a Qualified Player to a minor league contract just to avoid losing a draft pick.

 

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  • Good work!

    John Beasley 37 min 19 sec ago view
  • crunch 7 hours 14 min ago view
  • My guy Addy

    jacos 7 hours 15 min ago view
  • oh, another a.russell HR...whatever.

    crunch 7 hours 29 min ago view
  • Dylan Cease throwing gas tonight for the Emeralds. In first three innings, has hit 100 mph six times, averaging 98 mph

    Eric S 7 hours 48 min ago view
  • Can I get a gif of Joe West's jowls waving as he chews gum?

    /Asking for a friend

    jacos 8 hours 11 min ago view
  • my gawd...that castillo-to-bryant pickoff was a thing of beauty. the knock on him in the minors being slow out of the crouch is looking less like a thing.

    crunch 8 hours 24 min ago view
  • bless your heart. *pinches cheeks*

    crunch 13 hours 20 min ago view
  • real shame I missed this week's episode of The Crunch Reporter.

    It's highly unusual.

    It does matter a little.

    It matters much less than you think.

     

     

    Rob G. 13 hours 22 min ago view
  • four winds field is awesome. it's crazy how minor league parks have "grown up" since the 80s/90s and that park was one of the late-80s models that showed a low-capacity ballpark could look like you're at something other than a highschool baseball game.

    crunch 14 hours 28 min ago view
  • On another topic....I returned to South Bend last night for the 2nd time this season (still haven't tried either the deep-fried mac & cheese sandwich nor "The Porknado", as the drive home is over an hour and that could get ugly), and was pleasantly surprised to find D. Underwood pitching in a rehab start. He looked good -- although, to be fair, these are low-A hitters -- fastball consistently at 94-95 (if the SB scoreboard is to be believed -- several pitches were clocked in the 30s...) and with good location.

    billybucks 15 hours 36 min ago view
  • he gains nothing, no advantage, no saving of resources, nothing...there is not a cost/benefit tradeoff...him letting the running game go on around him for others to control isn't gaining him an advantage elsewhere. it's putting him at a disadvantage even if it's not cashed in with a run.

    crunch 18 hours 16 min ago view
  • And out of respect for the rest of TCR, I'm done on this. I'm sure I'm not the only one in the other camp, but time to let it go. (Until the next Lester start. I kid.)

    #baseballtalk

    Tito 18 hours 20 min ago view
  • He is putting himself at a disadvanage. But how much of one relative to the rest of his game? He's not Justin Germano -- he's inarguably one of the best SPs in baseball, issue or not. It would be more of thing to discuss ad nauseum if it constantly caused him to give up runs and lose games. But it doesn't.

    #baseballtalk

    Tito 18 hours 29 min ago view
  • shouting down my points about lester with "well, it didn't hurt" is like saying it doesn't matter if a guy starts out walking 3 guys every inning as long it's followed by a K and a double play.

    it's like elevating ERA and wins to a high level while ignoring what it took to get there.

    crunch 18 hours 35 min ago view
  • I'm asking how much it has hurt Lester and the Cubs this year. Do you have that answer?

    I legitimately don't recall you answering that quesion, apart from the condescending silliness you just posted. So if you did answer specifically about the impact of Lester's issue, I'd like to re-read it. Thanks.

    #baseballtalk

    Tito 18 hours 48 min ago view