The National Hockey League and Kontinental Hockey League signed a new memorandum of understanding today to respect players contracts in both leagues as well as set up a list of procedures both sides need to follow in order to avoid conflicts when players transfer from one league to the other. The agreement will be in place until June 30th, 2013.
The memorandum is broken down into eight points which entail the following:
1. From July 16, 2012, both parties should exchange data on any players who have existing contracts with KHL or NHL clubs. The data should include the player’s name, surname, date of birth, club, contract expiry date and his status. On demand of one of the parties, the other party shall supply a full copy of the player’s contract.
2. The KHL and the NHL are obliged to update the players’ contracts database every week with the latest information on any changes.
3. Both leagues should exchange their lists of free agents.
4. The KHL and NHL respect each other’s contracts. Both parties recognize and support the main principle: players under contract with a club from one league cannot fulfill any obligation to a club from another league during the term of the player’s contract.
5. In the event of any conflict or disagreement arising, both parties shall appoint their official representatives to hold negotiations.
6. Prior to such negotiations the parties undertake to provide all documents confirming or in any way associated with the player’s signing of a professional contract with any hockey club.
7. Toronto or New York shall be the venues for the negotiations between the official representatives of both leagues.
8. The NHL and the KHL are obliged to do everything in their power to reach a consensus concerning each player’s disputed contract status, including cases of labor conflicts, contractual disputes, etc. In the event of any failure to reach a consensus, each party reserves the right to act in the way it considers appropriate in such circumstances.
The agreement was signed between KHL president Alexander Medvedev and NHL Deputy Commissioner Bill Daly with the hope that it will continue to eliminate any gray areas when players transfer from one side of the Atlantic to the other. So far, these agreements have worked in the past.