[BrooksGate] The Dodgers’ current deferred contracts

38 comments

  1. I see no issue with this, a team smarter than everyone else is using a loophole MLB created and has allowed to remain.

  5. I really think this is going to be a hot ticket item in the upcoming CBA talks. This sub doesn’t seem to think so, and while I personally have no issue with the dodgers doing it (I wish the Phillies would start), in a league that already doesn’t have a salary cap, this is just another massive gap between the big money teams and the not.

    I think we’re in for an exceptionally rough CBA

    Edit: I never knew how many dodgers fans there were in this sub until I proposed a salary cap 😂

  8. I can’t imagine the state of California, or others, allowing this to go on much longer.

    The money is earned in the state. But because it is deferred, it may not necessarily be taxed in the state. That’s a massive loss of tax revenue, especially if any of them decide to live in WA or other states without income tax while they get paid. This is common for certain types of corporate executive comp structures and why many “live” in Las Vegas for 50%+1 days of a year.

    Guess that explaisn why Justin Turner has been hanging around Seattle. And we’re happy to have him.

    Play at T-Mobile Park and you’ll avoid a significant amount of taxes. That should be our new free agent pitch.

    Nothing against the Dogers for doing it. It’s perfectly legal. But from a government/enjoyer of publicly funded services perspective… I dunno.

  9. There’s not a team in the league that cant do this same thing. They just have to be willing.

  11. So. For real. What’s the plan here? Tax evasion? Do the owners think they’ll be dead before it’s time to sell? This is sub prime mortgages in 2008 level. 

  12. I remember when baseball was run by numbers and analytic nerds, now it is run by finance and accounting majors.

  13. MLB needs to start taking more money from these teams and investing it into the stadiums they insist on building so taxpayers aren’t on the hook. Can’t justify making cities pay for these things when you have a single employee in your company making 70 mil a year.

  14. So is there any real downside or negative to deferring contracts like this for either the player or the team?

  15. If the later payment has to be credited to the Exlaw account each year, what does the Dodgers gain from the later payment?

  16. All I see is a bunch of players willing to make less to play with the Dodgers because they think they can win. Why are we not ok with this?

  21. It’s not really that bad when you minus Ohtani. It’s just $320M in deferred. No player besides Ohtani would defer 97% of their salary.

  22. Seeing this graphic made me think the Dodgers re-signed Teo!!

    Forgot they deferred his 1-year contract

  26. Baseball contracts are sooooo broken, very likely to kill the sport if not stopped soon. Allowing the Rich to kick the can down the road to avoid paying the large revenue tax is just a broken system

  31. I’m fully convinced the Dodgers know that the world is just going to end within 10 years

  36. The Dodgers literally won the lottery with Ohtani. And they have the perfect owners who know how to optimize and use that windfall. No other player nets its team an extra $120M per year in revenue. If that total stands for the life of his contract, that’s potentially $1.2B of free Monopoly money. These deferments will basically be funded in 10 years. With interest earned, the Dodgers can defer even more and not blink an eye. It doesn’t really cost them anything out of their own pocket. This is why they can do this.

    Honestly, I don’t see how any other team can match this strategy.

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