Starting in 2009, there are two classes of free agents: international and domestic.  Domestic free agents can only sign with other NPB teams while international free agents are free to try their luck overseas as well as sign domestically.

In order to qualify as an international free agent, players must play nine seasons in the NPB.  To qualify as a domestic free agent, players drafted before 2007 must wait eight seasons.  Players drafted after 2007 are only required to wait seven seasons before being declared domestic free agents.  This is a much longer period than in MLB.  Can you imagine an MLB superstar having to wait eight seasons before signing with a big market club?

Also, in contrast to MLB regulations, players must be on the team’s top roster for 145 days in order for it to count as a “year” for free agency purposes.  Time spent injured or in the minors does not count.  Therefore, it can take much longer than eight or nine years for a player to be eligible for free agency in Japan.

Further, teams that sign a domestic free agent in Japan are required to compensate the player’s former team with either money or players.  Many players decline free agency and remain with their teams.  This basically means that Japanese free agency is almost non-existent compared to MLB.  For example, after the 2008 season, 83 players qualified for free agency.  Only 7 actually filed.

This year, roughly the same amount of players are eligible.  One Japanese player has already filed: Ryota Igarashi of the Yakult Swallows. Igarashi is a 30-year-old right-handed relief pitcher.  He went 3-2 with three saves and a 3.19 ERA in 56 games last season.  His best season was 2004 when he had 37 saves and 86 strikeouts in 66 games.  It will be interesting to see how many more actually file.

Players shall not act in concert with other Players and Clubs shall not act in concert with other Clubs.

The MLBPA is the exclusive bargaining unit for MLB players, which means that the players’ association is the only entity that can file a grievance on behalf of the players and their angered agents.  The players and agents themselves have no other recourse than going through the MLBPA.  A bevy of agents, with Jeff Borris apparently as the designated spokesperson, have been vocal during the All-Star Break, claiming collusion in this past offseason (between the end of the 2008 season and the start of the 2009 season).  The agents may believe that they finally have a chance to persuade the MLBPA to take action, with the recent announcement by Donald Fehr that he will resign at the end of this season.  The man who will be taking his place is Michael Weiner.  Hopefully he is a better Executive Director than Philosopher.  Earlier this week, Weiner had two provoking statements regarding the potential of prior/continuing collusion:

“The investigation is ongoing but not complete because of things to review,” and “The new market will be what it’s going to be.”

Thanks for clearing that up.  On the other end, Bud Selig is telling agents to live in the real world.  Does the real world include setting up new training camps for free agent, established veterans who can’t find a job?  Because if you remember this article that I linked to in a former Friday Wrap-Up, while everyone was worrying about Manny Ramirez in the offseason (and continued to while he was suspended for 50 games and some guy named Juan Pierre helped the Dodgers establish themselves as legitimate World Series contenders), the MLBPA was considering the establishment of a special camp in Vero Beach because so many proven players were getting no love from MLB clubs.  I think I’ll pass on Selig’s recommendation.  I’d rather live in fantasy land.  In fantasy land, I may be able to see Barry Bonds play when he is 60-years-old.

The MLBPA has had success in the past when it filed grievances against the MLB owners for colluding.  If the market becomes what it’s going to be and these things finally get reviewed, maybe agents and players have a chance of convincing the players’ association to take a stand against the owners.  It has been quite some time.

We need to be educators, not facilitators.  If your client gets busted for substance abuse one time, that is more than enough.  At that point, it’s time to put your foot down and let the client know that such behavior will not fly.  We are agents, not friends, and often times, the lines are blurred tremendously.  Take steps back and make sure to internally reaffirm that above all, you have the best interests of your clients in mind.  That means letting them know that they have a lot to lose if they violate the law/professional associations’ rules regarding substance abuse for a second time.

Sports agents exist because they truly help athletes in a variety of ways.  They also exist because they also have the possibility to earn a very strong salary off of commissions charged.  But no one is making money when players are suspended.  Jeremy Jeffress is one of the top pitching prospects in the Milwaukee Brewers organization.  Some penned 2009 as the year that the young pitcher would get his chance in the MLB.  Not so fast.  He recently was busted for the second time (the kid is only 21-years-old) for using marijuana.

Jeffress will now serve a 100 game suspension.  Teams don’t like it when a player has to miss a week because of a death in the family.  What do you think that an organization thinks about missing 100 days because a player can’t get off the weed during the season?  Next violation, if it happens, and Jeffress gets a lifetime ban from Minor League Baseball.

As an agent, if you decide to take on a client like Jeffress, it is your responsibility to do whatever you can to prevent this from happening.  Be an educator, not a facilitator.  It is a shame to see a former first-round pick with so much talent suspended for the rest of the year and well into 2010 because he could not stay away from drugs…drugs that don’t even help his performance on the field.  His performance, and actually playing games, is all he should be thinking about.  There are hungry guys drafted later than him, or not drafted at all, who will do whatever it takes to make it to the big stage.

An agent could be directly providing clients with undetectable cutting edge drugs and foolproof masking agents. Or the agent’s role could be as nebulous as pointing a player in the direction of a doctor or anti-aging clinic that dispenses PEDs.

The article seems to have special focus on Scott Boras, who has had a good chunk of his clients testing positive for performance enhancing drugs.  The main question is: Was Boras [and other agents] naive or complicit?.  Another good point raised by Lisa Olson is that, while Boras’ empire is more vast than the Sultan of Brunei’s, it is entirely possible Boras’ only connection with PEDs is circumstantial.

12.3.2.1 Presence of a Lawyer at Negotiations. A lawyer may not be present during discussions of a contract offer with a professional organization or have any direct contact (i.e., in person, by telephone or by mail) with a professional sports organization on behalf of the individual. A lawyer’s presence during such discussions is considered representation by an agent.

Voiding that Bylaw would mean that at a minimum, a lawyer could be present during discussions of a contract offer and may have direct contact with the organization.  However, the NCAA continued to enforce the Bylaw in lieu of abiding by Judge Tone’s Opinion and Judgement Entry.  That is all about to change.

A vacated order from May 6 includes this passage from Judge Tone:

“In regards to the February 12, 2009 Opinion and Judgment Entry, the Court determined that Bylaw 12.3.2.1 is void and granted Plaintiff’s request for declaratory judgment and injunctive relief.  Contrary to Defendant’s rhetoric, the February entry did not presume to void an NCAA rule, it did void an NCAA rule.  See, p.5 of Defendant’s Opposition.  In that respect, discussions of how to proceed without Bylaw 12.3.2.1 should be discussed by the NCAA and its member institutions.  Make no mistake, however, that wherever the NCAA is located, the ruling of this Court should be currently maintained and Bylaw 12.3.2.1 is void, not presumed void, until and unless an appellate review would determine otherwise.”

Judge Tone is pretty clear in his statement.  And in case you think the NCAA has reason to believe that this order cannot be applied nationwide, the attorney for Andy Oliver says otherwise:

Also, reporters have asked me how an Ohio court’s order could have any effect outside of Ohio, and the answer is that the court has personal jurisdiction over the NCAA, which is an Ohio citizen, and thus the order applies to the NCAA wherever it may be or go.  The analogy would be a court granting a protective order to a wife, the husband follows her out-of-state and violates the protective order, and the court punishes the husband upon motion, because the order applied to the person–not to the location, as long as the court has jurisdiction over the person.  I hope that makes sense.

Makes sense to me.

How much do you weigh past precedent in formulating the team’s offer?

Past precedent definitely plays a role, but as any agent will tell you, the most relevant contracts signed are the most recent. According to a study by the Associated Press, this year’s group of arbitration-eligible players reportedly earned a record increase of 172 percent. There’s no doubt that salaries escalate more in arbitration than free agency. There are many reasons for this – beyond it being a flawed process – but the biggest, in my opinion, is once you tender a contract to an arbitration-eligible player the power shifts completely to that player and his agent. In free agency, until a player signs, clubs, to a degree, can still determine a player’s salary.

How important is it to the Braves to get a deal done before the hearing? Some teams seem to pride themselves on never actually going to arbitration.

I don’t think any club looks forward to going to arbitration – it’s a lose-lose proposition. Players are present for their hearings and the points you make in a case can damage the relationship between the player and the club or, worse, affect a player’s confidence and mindset at the very beginning of a season. As our General Manager Frank Wren says, “you win the battle but lose the war.” And if you lose the case, after pointing out in detail every single shortcoming of a player, it’s a real double-whammy.

That being said, we won’t buy players out of hearings. Our Assistant General Manager, Bruce Manno, and I had our suitcases packed and flights booked for two hearings this year and our cases were ready. We don’t look forward to hearings, but if it has to happen we will always be prepared.

How do you build your case? What key points do you usually center it around?

In a typical year I will begin looking at player comparables for potential arbitration-eligible players during the last month of the season. Almost immediately after our season ends, I will finalize these comparables and discuss them with Frank and Bruce. Once we feel good about those comparables we discuss them with our arbitration practitioners, Mark Rosenthal and Alex Tamin. As the process develops, and negotiations evolve or stagnate, Mark and Alex begin preparing massive outlines and presentations on the remaining arbitration-eligible players. If we end up in a hearing, they present the case on behalf of the Braves. Mark and Alex consult with a number of clubs, have tons of experience, and do an outstanding job.

After talking through each player and potential case with Frank, Bruce, Mark, and Alex, the key points for each case become apparent. Like I said earlier, each player is his own individual case. Depending upon who the player is and what type of season he had, we structure key points in a strategic manner to best fit our argument. It’s the same way agents build their cases. In the end it’s all about performance and the players who have performed the best will get paid the most.

How does the player’s agent affect your preparation?

Very little. Like I said, we are going to prepare a case that puts the Braves in the best possible position whether the player’s agent is Scott Boras or Scott Baio. As you work in the industry you develop relationships with agents that might help to facilitate an agreement more easily or make negotiations more amicable, but in terms of preparation it makes no difference.

Some great insight from John Coppolella, but there is no way that he is going to negotiate with Scotty Baio the same way that he would with Boras!  Scott Baio is 46…and Pregnant!

The juiced era reportedly began in 1994 and ended around 2004. The BALCO investigation was at its climax in 2005 and enhanced the spotlight placed on Major League Baseball and its star performers, which included Tejada’s “testimony”. With the continued intervention of Congress on the issue, the list of admitted steroid users started growing even larger. Some wrote books blaming others, calling out players and naming fellow users. Some chose the path of Mark McGwire, Roger Clemens and Barry Bonds, and continue to deny their transparent use of the substances, while others like A-rod and Andy Pettitte decided the best option was to bite the bullet and come clean. Whatever path these players chose, there have been no legal ramifications, until now.

A few days after Rodriguez’s interview and apology Houston Astros star shortstop Miguel Tejada became the first player to be officially convicted of a crime in the juiced era. Last Wednesday, Tejada pled guilty to the charge of misrepresentation to Congress by withholding information. The weird aspect about this big-time conviction is that it predominantly talks about Miguel’s lying to congress about his teammates use of illegal substances. He did however, acknowledge his individual use of Human Growth Hormone (HGH) when he was in Oakland, but still claims that he “threw away the HGH that he purchased before using it.”

The crime is a misdemeanor and with Tejada’s continued cooperation he will likely receive probation as opposed to any jail time. The direct terms of Tejada’s plea bargain state that by agreeing to the deal he may still be subject to “detention, deportation and other sanctions at the direction of the United States Immigration and Customs Enforcement.”

According to Fox News, a Customs Enforcement agent replied to the statement saying the agency “individually reviews cases of legal permanent residents convicted of a crime to determine if they should be deported.” The agency would not talk about Tejada’s case in any more detail because it does not discuss individual cases.

Only a year ago, Tejada (34) divulged in an interview that he lied about his true age and produced a fake birth certificate when he originally entered the United States from the Dominican Republic to play in the league. After making this voluntary declaration, Tejada was never punished, other than harsh comments and criticism in the media, and he still remained in the America. Although nothing happened after this first incident, Tejada’s past admittance and repentance certainly was on the minds of some people.

In the complaint, the government states that Tejada violated 2. U.S.C. 192, entitled “Refusal of witness to testify or produce papers.” Tejada accordingly was under oath in August of 2005 when congressional staffers from the House Committee on Oversight and Government Reform questioned him in a Baltimore hotel room.

U.S. Code, Title 2, Section 192 expressly states that “Every person who having been summoned as a witness by the authority of either House of Congress to give testimony or to produce papers upon any matter under inquiry before either House, or any joint committee established by a joint or concurrent resolution of the two Houses of Congress, or any committee of either House of Congress, willfully makes default, or who, having appeared, refuses to answer any question pertinent to the question under inquiry, shall be deemed guilty of a misdemeanor, punishable by a fine of not more than $ 1,000 nor less than $ 100 and imprisonment in a common jail for not less than one month nor more than twelve months.”

Using 2. U.S.C. 192. Tejada did not fully comply with congressional staffers when he was interviewed regarding questions pertaining to the use of HGH and other banned substances.  Yale 2L Aaron Zelinski analyzed the topic and pointed out that this was the first case to date brought under 2. U.S.C. 192 that contained facts from acts that took place in a hotel room with only a group of congressional members and the defendant.

Although, I believe Tejada is clearly and blatantly guilty, as does Mr. Zelinski, we differ when I contend that Miguel did violate the expressed language in 2. U.S.C. 192. However, I do agree with him when he suggests that this interpretation of the law broadly stretches the government’s reach on matters concerning perjury.  When are you really under oath? Can it be any time you talk to members of congress?  If that is what emerges from this case then we are all in trouble.

With Tejada’s fall from greatness, it seems that the government is looking to make a statement by investigating and reporting on big name players. This is understandable, as something drastic must be done to try and halt the use of banned substances in baseball. Alex Rodriguez was only one name on a huge list of players randomly tested by the MLB. His name was leaked and he was induced into finally confessing. 103 more names still remain on that list. The way these players and their agents and advisors handle the disclosure of that list is really the determinative factor regarding the government bringing a suit against them.

A-Rod’s decision might have kept him outside of a cell for now, but many lost faith in his every word and still do not believe he is telling the complete truth.  Roger Clemens is currently the one feeling the most heat from the F.B.I. for his adamant denial in front of congress last year. The Rocket might be the next one to fall from the ranks of baseball greats.

Tejada’s sentencing will take place on March 25^th. Although he is the first in the steroid era, he certainly will not be the last. This decision could lead to many more individuals facing charges and should send signals to others who plan on talking about the juiced era.

Of the twenty-four players offered arbitration, these are some names that stick out: CC Sabathia, Mark Teixeira, Manny Ramirez, Francisco Rodriguez, Brian Fuentes, Ben Sheets, A.J. Burnett, Derek Lowe, Oliver Perez, Raul Ibanez, Jason Varitek, Orlando Hudson and Orlando Cabrera.  Others include Paul Byrd, Dennys Reyes, Mark Grudzielanek, Juan Cruz, Brandon Lyon, Milton Bradley, Brian Shouse, Darren Oliver, Casey Blake, and David Weathers.

If a player accepts the arbitration offer, the worst that can happen is for an arbitrator to grant said player 20% less than his previous salary.  And don’t forget about the Elias Sports Bureau rankings.  That’s why you see CC Sabathia being offered arbitration even though there is a .001% chance that he stays in Milwaukee.

In an interview, Manny stated, “I want to see who is the highest bidder. Gas is up and so am I.”

This past Wednesday, General Manager Ned Colletti said that the Dodgers’ offer would give Manny the second-highest average salary, only to be outdone by Yankees slugger Alex Rodriguez.

The Los Angeles Times has reported that the Dodgers’ offer is believed to be for two years at roughly $45 million.

Ramirez’s agent, Scott Boras, is reportedly seeking a long-term deal.

It seems to me that the Dodgers are being very hesitant on pitching Manny the long term deal for a couple of reasons:

• Manny is 36-years-old
• The Dodgers need to invest in other priorities with the highest being their bullpen.

In 53 regular season games in LA, Ramirez hit .396 with 17 home runs, 53 RBIs, 36 runs scored, 74 hits and 35 walks.

In the playoffs, Manny hit .520 with 4 home runs, 10 RBIs, 9 runs scored, and 11 walks in 8 games.

Other teams like the Orioles, Blue Jays, and Yankees will not be able to offer Manny a deal until November 14 (see this post for more free-agent info).

Article XX of the MLB Collective Bargaining Agreement deals with the Reserve System.  Paragraph B specifically highlights Free Agency.  Any player with six or more years of MLB service who is not under contract for the following season may become a free-agent.  There is a procedure that players and their agents must follow.  A Player eligible to become a free-agent may give notice of his election of free agency within the 15-day period beginning on October 15 (or the day following the last game of the World Series, whichever is later).

The former club of a free-agent may offer arbitration by December 1 as long as that player has not yet signed a contract.  Only if the former team offers arbitration and the free-agent rejects and signs with another club at any time or he flat out signs with another team by December 1 minus the arbitration offer, may that team be compensated if said player signs elsewhere.

The Elias Sports Bureau is the official stat tracker for Major League Baseball, among almost every other major professional American sport.  Every year, ESB ranks National and American League players and places them into three categories.  The top 20% are considered Type A players, next 20% are type B, and the remaining players are labeled Type C.  ESB does not compile these rankings just for fun.  The MLB uses the results to determine compensation picks based on free-agent movement.  In compensation cases:

• Type A free-agent: Former team will be compensated with the signing team’s first round draft pick and a supplemental first-round pick in the following Amateur Draft.  If the signing team finished the previous season in the bottom half of the standings, it will keep its first round pick, but give up a second round pick instead.  The former team will still get a supplemental round pick either way.  Additionally, the signing team does not give up a pick awarded as compensation for failing to sign a player in the previous draft.
• Type B free agent: Former team only receives a supplemental first-round pick.
• No compensatory picks are granted to an organization for Type C free-agents who sign elsewhere.

Since the World Series ended after October 15th, that date will be used to determine the free-agency declaration window (it is November 14).  Eligible players have fifteen days from last Thursday to declare for free-agency.  At that point, we will know how many Type A and Type B players will be in the free-agent pool.  This information is important, because clubs are limited in the number of Type A and Type B players they can sign based on the number of those types of players who elect to enter free-agency.  From the Quota section of the Collective Bargaining Agreement:

If there are 14 or less such Players, no Club may sign more than one Type A or B Player. If there are from 15 to 38 such Players, no Club may sign more than two Type A or B Players. If there are from 39 to 62 such Players, no Club may sign more than three Type A or B Players. If there are more than 62 such Players, the Club quotas shall be increased accordingly. There shall be no restrictions on the number of unranked Players that a Club may sign to contracts.

The caveat:

A Club shall be eligible to sign at least as many Type A and B Players as it may have lost through Players having become free agents under this Section at the close of the season just concluded.

One thing is certain: #1 on the ESB rankings, Mark Teixeira, has declared for free-agent status.  That is one Type A player to add to the total.  Here are the leaders by position and league:

American League
• First base: Mark Texeira, Angels (98.889)
• Outfield: Magglio Ordonez, Tigers (96.316)
• Designated hitter: David Ortiz, Red Sox (94.545)
• Catcher: Joe Mauer, Twins (89.401)
• Second base: Dustin Pedroia, Red Sox (85.714)
• Shortstop: Michael Young, Rangers (88.0)
• Third base: Alex Rodriguez, Yankees (95.031)
• Starting pitcher: Roy Halladay, Blue Jays (95.058)

National League
• First base: Albert Pujols, Cardinals (95.385)
• Outfield: Matt Holliday, Rockies (98.125)
• Catcher: Russell Martin, Dodgers (85.328)
• Second base: Chase Utley, Phillies (92.411)
• Shortstop: Jimmy Rollins, Phillies (85.714)
• Third base: David Wright, Mets (89.560)
• Reliever: Takashi Saito, Dodgers (88.678)
• Starting pitcher: C.C. Sabathia, Brewers (98.110)

Now let the games begin.