Kentucky Jet Posted August 30, 2007 Share Posted August 30, 2007 FALCONS FORMALLY ASK VICK FOR $20 MILLION Len Pasquarelli of ESPN.com reports that the Atlanta Falcons have demanded a $20 million refund from Mike Vick. Prior media reports indicated that the Falcons would pursue $22 million. We believe that the Vick contract entitles the Falcons to seek more than $28 million. The key here is the extent to which $29.5 million paid to Vick as roster bonuses that were converted at the team's option to guaranteed payments are subject to forfeiture. Vick and the NFLPA will argue that it the roster bonuses are exempt; the NFL and the Falcons will argue that they are not. If the converted roster bonus money is not included, and if the 2006 CBA is applied retroactively, the most the Falcons can get is the remaining three years' proration of his $7.5 million signing bonus, which equates to $3.75 million. If the prior CBA applies, the Falcons will be entitled to apply their formula that multiplies the bonus by the total remaining regular-season games under the deal (here, the number is 112), and then divides it by the total regular-season games covered by the contract (in this case, the number is 146). Under that equation, the Falcons can recover $5.75 million. It's unknown how the Falcons came up with the $20 million. It could be that the Falcons believe that they can get more than that, but that they have made an opener of $20 million in an effort to negotiate a compromise between $3.75 million and $28 million. -------------------------------------------------------------------------------- Link to comment Share on other sites More sharing options...
Thai Jet Posted August 31, 2007 Share Posted August 31, 2007 FALCONS FORMALLY ASK VICK FOR $20 MILLION Len Pasquarelli of ESPN.com reports that the Atlanta Falcons have demanded a $20 million refund from Mike Vick. Prior media reports indicated that the Falcons would pursue $22 million. We believe that the Vick contract entitles the Falcons to seek more than $28 million. The key here is the extent to which $29.5 million paid to Vick as roster bonuses that were converted at the team's option to guaranteed payments are subject to forfeiture. Vick and the NFLPA will argue that it the roster bonuses are exempt; the NFL and the Falcons will argue that they are not. If the converted roster bonus money is not included, and if the 2006 CBA is applied retroactively, the most the Falcons can get is the remaining three years' proration of his $7.5 million signing bonus, which equates to $3.75 million. If the prior CBA applies, the Falcons will be entitled to apply their formula that multiplies the bonus by the total remaining regular-season games under the deal (here, the number is 112), and then divides it by the total regular-season games covered by the contract (in this case, the number is 146). Under that equation, the Falcons can recover $5.75 million. It's unknown how the Falcons came up with the $20 million. It could be that the Falcons believe that they can get more than that, but that they have made an opener of $20 million in an effort to negotiate a compromise between $3.75 million and $28 million. -------------------------------------------------------------------------------- The Falcons will be lucky to get the $3.75 mil from Vick. That's what they get for giving such an obscene bonus to Vick up front. Link to comment Share on other sites More sharing options...
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