League voids Kovalchuk's deal with Devils

Hockey Betting Lines

07/20/2010 - Toronto, ON (Sportsbook Betting Lines) - The NHL has rejected Ilya Kovalchuk's 17-year, $102 million contract with the New Jersey Devils on grounds that it circumvents the league's salary cap.

The report is according to TSN Canada.

The rejection is likely due to the way the deal is structured, which was previously reported by the Newark Star-Ledger. He was due to earn $6 million in each of the next two seasons, $11.5 million from 2012-17 and $10.5 million the following year. The salary was scheduled to fall off after that until he made $550,000 annually in the final five years of the deal. He would have been 44 years old when the contract was set to conclude in 2027.

The way the current collective bargaining agreement is structured, a player who signs a deal before the age of 35 can eventually retire and have his contract come off a team's salary cap; however, teams must negotiate in a good faith effort to have the player remain in the league for the duration of the contract. It appears the Devils frontloaded the deal so Kovalchuk could have earned as much money as possible while providing the lowest possible cap hit for the team.

Similar investigations were also launched last offseason for Philadelphia's Chris Pronger and Chicago's Marian Hossa, but the league did not void either of those contracts. Pronger signed a seven-year extension worth $35 million, where he makes $525,000 in each of the final two seasons, while Hossa makes $1 million or less in each of the final four years of his 12-year, $62 million deal.

Kovalchuk was the hottest commodity on this year's free agent market, as he was pursued by the Devils, Kings, Islanders and a Russian club among others. He has turned down reported offers of $70 million over seven years and $100 million over 12 years from the Thrashers, who finally gave up on re-signing the sniper and sent him to New Jersey in a package that netted Atlanta defenseman Johnny Oduya, right wing Niclas Bergfors, forward Patrice Cormier and a first-round draft pick.

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