A common misconception is that any contract signed by a player over the age of 35 automatically falls under the 35+ contract rules. This isn’t entirely accurate. As Sidney Crosby and the Penguins discuss a potential contract extension starting in the 2025-26 season, it’s important to understand how these rules work and how they might affect negotiations.
What is a 35+ Contract?
For a contract to be designated as a 35+ contract, the following conditions must be met:
- The player must be 35 or older when the contract takes effect, regardless of the signing date.
- The contract must be longer than one year.
Additionally, at least one of the following criteria must apply:
- The contract includes signing bonuses after the first year.
- The contract is front-loaded, with a higher salary in the initial years.
Currently, the Penguins have two players on 35+ contracts: Evgeni Malkin and Kris Letang. Both signed multi-year deals after turning 35 that include at least one of the above structures.
An example of a contract that did not receive the 35+ designation was Corey Crawford’s two-year deal with the Devils in 2020. Despite Crawford being over 35 and signing a multi-year contract, the consistent salary and lack of signing bonuses meant the contract avoided the 35+ designation. Thus, when Crawford retired three months later, the Devils faced no penalties.
What Happens if a Player is on a 35+ Contract?
If a player not on a 35+ contract retires while the contract is active, the cap hit disappears, with no penalty. However, if a player on a 35+ contract retires mid-contract, the cap hit remains for the duration of the deal, with no relief. Additionally, the cap hit cannot be reduced through a buyout, and sending the player to the minors only reduces the cap hit by $100,000 instead of the usual $1 million-plus.
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