Salary Cap Accounting Rules
Section 6(c)(ii)Valuation of Player Contracts
Notwithstanding any provision in a Player Contract to the contrary or when such payments are actually made, the following rules shall apply in determining the amount of a player’s Salary that is to be included in Team Salary in a particular League Year for purposes of the Salary Cap:
At the end of a season, if performance bonuses actually earned resulted in a Team’s paying Salary in excess of the Salary Cap, then the amount by which the Team exceeded the Salary Cap as a result of such actually paid performance bonuses shall be charged to the Team’s Team Salary for the next League Year (i.e., reducing the Club’s Room in the next League Year). For the purposes of this Subsection, the Team’s Room at the end of the season shall reflect any charge to its Team Salary in the current League Year resulting from its election to Carry Over Room to the next League Year pursuant to Article 13, Section 6(b)(v).