Draft Pick Compensation: The changes are numerous and complex but address everything from the Qualifying Offer system to those that break the Luxury Tax.
- Clubs may not tender a Qualifying Offer to a player who has previously received a Qualifying Offer.
- The time period during which a player can accept a Qualifying Offer will be extended from 7 to 10 days.
- Clubs signing a Free Agent subject to compensation will no longer forfeit a first round selection, but will be subject to the following:
- A non-market disqualified Revenue Sharing Payee Club shall forfeit its third highest remaining selection in the next Rule 4 Draft.
- A Luxury Tax offender shall forfeit its second-highest and fifth-highest remaining selections in the next Rule 4 Draft and shall have its International Signing Bonus Pool (described below) reduced by $1,000,000 in the next full Signing Period.
- All other Clubs shall forfeit their second-highest remaining selection in the next Rule 4 Draft and shall have their International Signing Bonus Pool reduced by $500,000 in the next full Signing Bonus Period.
- All forfeited International Signing Bonus Pool monies will be distributed equally among all other Clubs. Competitive Balance Selections will be exempt from forfeiture.
- A Former Club of a Free Agent subject to draft pick compensation will receive the following:
- A non-market disqualified Revenue Sharing Payee Club shall receive a selection immediately following the first round of the draft if the player signs a contract with a total guarantee of $50 million or more.
- Clubs that break the Luxury Tax threshold shall receive a draft selection immediately following the fourth round of the next Rule 4 Draft.
- All other former clubs shall receive a selection immediately following the Competitive Balance Round B of the next Rule 4 Draft (which follows the second round).