Player rejecting contract extension offer...why?

White Sox · 02-26-2010, 01:55 AM

I'm trying to sign a player to a contract extension to avoid arbitration, but he just outright rejected my latest offer, and I'm curious what might be the most likely reason why. Here's the situation.

Player is looking for a 2-year contract worth a total of $15,360,000, which equals $7,680,000 per season. Those two years represent his last two years of arbitration before he his eligible for free agency.

My latest offer was a three-year deal worth the guaranteed $15,360,000 he was looking for, plus a third year that would be a team option, structured as follows:
1st season: $6,730,000
2nd season: $8,630,000
3rd season: $9,080,000 (team option)
Possible total: $24,440,000, equal to $8,146,667 per season.

Because of my financial situation and a number of other players who are also eligible for arbitration and who I would like to sign to extensions, I'm trying to structure these deals to pay these guys as little as possible for the following season before some other huge contracts expire and I have a little more spending room. In other words, that $6.73 million in the first year of the offer is about as high as I really want to go.

So, what's his problem with this? Do players really insist on an evenly-structured contract, like making exactly $7.68 million a season, as is the case here? He made $5.6 million this past season, and his arbitration estimate is $5.04 million, so, like I said, I think my structured offer is more than fair.

Does he not like the fact that I'm including a third year as a team option? Is the third-year offer, which is admittedly kind of weak, too low for him? Is he really looking for more money than he claims?

The player's rejection message to this offer said that the amount was far too low. Any ideas?

Stokes36 · 02-26-2010, 02:58 AM

Not that I'm GREATLY experienced, but I think that if it's going to be a 'team option', it should be a bit above market value. That's from my minor experience(About 8 SP sims of a season)

edm · 02-26-2010, 03:36 AM

in my experience, arbitration eligible players do not like signing extensions beyond their arbitration seasons. And a (non guaranteed) team option probably makes it tougher. if he's a superstar after those two seasons he can get a lot more on the market. if his skills decline, he gets cut.

i almost always let players exhaust all their arbitration years. it's usually cheaper that way... then take my chances resigning them in their final year,

how would you view this players value on the open market in your league (compared to what other free agents are getting in his skill range)? if its more than the 9M you are offering, then you will probably need to increase the amount in all years a bit and ditch the team option.

PSUColonel · 02-26-2010, 03:43 AM

Quote:

Originally Posted by edm

in my experience, arbitration eligible players do not like signing extensions beyond their arbitration seasons. And a (non guaranteed) team option probably makes it tougher. if he's a superstar after those two seasons he can get a lot more on the market. if his skills decline, he gets cut.

i almost always let players exhaust all their arbitration years. it's usually cheaper that way... then take my chances resigning them in their final year,

how would you view this players value on the open market in your league (compared to what other free agents are getting in his skill range)? if its more than the 9M you are offering, then you will probably need to increase the amount in all years a bit and ditch the team option.

agreed. But I think doing this should in turn likely anger the player, making it very difficult to sign him once his arbitration years are exhausted, and he is now an unrestricted free agent.

ptwarr18 · 02-26-2010, 09:26 AM

Quote:

Originally Posted by PSUColonel

agreed. But I think doing this should in turn likely anger the player, making it very difficult to sign him once his arbitration years are exhausted, and he is now an unrestricted free agent.

I don't think it does though. Obviously arbitration has been greatly improved recently, but I'd like to see fewer guys going to arbitration and more guys signing 1-year deals to avoid it. I'd also like to see a morale hit if a guy goes to arb, cause let's be real that's what happens in real life.

ptwarr18 · 02-26-2010, 09:32 AM

Quote:

Originally Posted by Waninski

Does he not like the fact that I'm including a third year as a team option? Is the third-year offer, which is admittedly kind of weak, too low for him? Is he really looking for more money than he claims?

The player's rejection message to this offer said that the amount was far too low. Any ideas?

I'd say he probably doesn't like the 3rd year as a team option. Like said above, that does nothing for a player. If I was an agent, I'd never have a client have a team option included in his contract unless it was giving him above-market in the guaranteed years of the deal, and it sounds like you're giving market.

I'd say, drop the option and see if he accepts the two-year offer. If not, and you really can't afford to up the salary in Yr 1 - I'd consider making the 3rd year guaranteed.

I don't know if you believe in using incentives, but I'd say maybe add in a small bonus that he will probably hit assuming he avoids injury. Say, give him an extra 500k for reaching 500 ABs or 750k for 200 IP if he's a SP. Something little like that.

trendon · 02-26-2010, 03:56 PM

If that were me, I'd reject that deal, too. At this point, any deal that delays my UFA status/ability would be rejected by me. I wonder what would happen if you made that a PLAYER OPTION.

ravinhood · 02-27-2010, 07:27 PM

He's rejecting the extra year and even though the money is better if he's a good player (and if the programmer programmed him correctly) he'd know he'd be worth more after that 2nd year and beyond his arbitration. After what I've found and discovered there aren't many players worth over a few million dollars now since 1 star players will play just as good and even better than 5 star players and will play for a lot less $660,000 just to be in the majors. I've got utility players that play better than the star players and am in the process of turning my team into just a utility player type team just to see how far it goes. A couple of high dinger players in the 3 and 4 spot and I'll be good to go for the pennant race.

02-26-2010, 01:55 AM	#1
White Sox All Star Reserve Join Date: Mar 2003 Posts: 583	Player rejecting contract extension offer...why? I'm trying to sign a player to a contract extension to avoid arbitration, but he just outright rejected my latest offer, and I'm curious what might be the most likely reason why. Here's the situation. Player is looking for a 2-year contract worth a total of $15,360,000, which equals $7,680,000 per season. Those two years represent his last two years of arbitration before he his eligible for free agency. My latest offer was a three-year deal worth the guaranteed $15,360,000 he was looking for, plus a third year that would be a team option, structured as follows: 1st season: $6,730,000 2nd season: $8,630,000 3rd season: $9,080,000 (team option) Possible total: $24,440,000, equal to $8,146,667 per season. Because of my financial situation and a number of other players who are also eligible for arbitration and who I would like to sign to extensions, I'm trying to structure these deals to pay these guys as little as possible for the following season before some other huge contracts expire and I have a little more spending room. In other words, that $6.73 million in the first year of the offer is about as high as I really want to go. So, what's his problem with this? Do players really insist on an evenly-structured contract, like making exactly $7.68 million a season, as is the case here? He made $5.6 million this past season, and his arbitration estimate is $5.04 million, so, like I said, I think my structured offer is more than fair. Does he not like the fact that I'm including a third year as a team option? Is the third-year offer, which is admittedly kind of weak, too low for him? Is he really looking for more money than he claims? The player's rejection message to this offer said that the amount was far too low. Any ideas? __________________ "Pitching, Defense, and the Three-Run Homer."

02-26-2010, 03:36 AM	#3
edm All Star Starter Join Date: Dec 2001 Location: Philadelphia, PA Posts: 1,999	in my experience, arbitration eligible players do not like signing extensions beyond their arbitration seasons. And a (non guaranteed) team option probably makes it tougher. if he's a superstar after those two seasons he can get a lot more on the market. if his skills decline, he gets cut. i almost always let players exhaust all their arbitration years. it's usually cheaper that way... then take my chances resigning them in their final year, how would you view this players value on the open market in your league (compared to what other free agents are getting in his skill range)? if its more than the 9M you are offering, then you will probably need to increase the amount in all years a bit and ditch the team option. Last edited by edm; 02-26-2010 at 03:41 AM.

02-26-2010, 02:58 AM	#2
Stokes36 Bat Boy Join Date: Feb 2010 Posts: 17	Not that I'm GREATLY experienced, but I think that if it's going to be a 'team option', it should be a bit above market value. That's from my minor experience(About 8 SP sims of a season)

02-26-2010, 03:56 PM	#7
trendon Minors (Double A) Join Date: Jul 2009 Posts: 103	If that were me, I'd reject that deal, too. At this point, any deal that delays my UFA status/ability would be rejected by me. I wonder what would happen if you made that a PLAYER OPTION.

02-27-2010, 07:27 PM	#8
ravinhood Major Leagues Join Date: Apr 2004 Posts: 374 Infractions: 0/1 (1)	He's rejecting the extra year and even though the money is better if he's a good player (and if the programmer programmed him correctly) he'd know he'd be worth more after that 2nd year and beyond his arbitration. After what I've found and discovered there aren't many players worth over a few million dollars now since 1 star players will play just as good and even better than 5 star players and will play for a lot less $660,000 just to be in the majors. I've got utility players that play better than the star players and am in the process of turning my team into just a utility player type team just to see how far it goes. A couple of high dinger players in the 3 and 4 spot and I'll be good to go for the pennant race.