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D'Brick's Real Deal


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D'Brickashaw's real deal? One year, $5.3225 million

Posted by Mike Florio on July 8, 2010 9:46 PM ET

We knew it.

When reports emerged of a six-year, $60 million extension with an eye-popping $34.8 million in guaranteed money, we knew that there was fluff in the new contract between the Jets and left tackle D'Brickashaw Ferguson.

We just had no idea how much fluff was there.

We've obtained a copy of the contract, and we've studied it carefully. The contract constitutes, as a practical matter, a one-year, $5.3225 million arrangement with no other guaranteed money earned or vested through the end of the 2010 season.

The amount comes from a base salary of $622,500, a signing bonus of $1.6 million due within five days of July 15, 2010, and a roster bonus of $3.1 million due within five days of July 15, 2010.

That's it. No other guarantees trigger unless and until Ferguson makes it through the 2010 season displaying adequate skill and, more importantly, not suffering serious injury.

If Ferguson endures a career-ending injury at any point this year (think LeCharles Bentley on the first day of training camp, 2006), Ferguson gets none of the rest of the money. If Ferguson simply suffers a serious but not career-ending injury at any point this year (think Leon Washington mimicking Joe Theismann against the Raiders in 2009), the Jets likely will terminate the contract and then try to re-sign Ferguson for a lesser amount -- or watch him walk away.

And, amazingly, the contract contains no future guarantees based on injury. None. Not a penny.

If Ferguson is on the Jets' 80-man roster on February 15, 2011, Ferguson's 2011 base salary of $5.615 million becomes guaranteed only for skill. This means that, if the Jets thereafter decide that Ferguson stinks, they still have to pay him his 2011 base salary. As a practical matter, the money also is guaranteed for injury after he passes his offseason physical, since he'd be owed his entire base salary if he, for example, tears an ACL while at a minicamp practice.

On that same day, February 15, 2011, Ferguson's $9.985 million base salary for 2012 becomes guaranteed, but again only for skill. So if he suffers a serious injury in 2011, the Jets can cut him before 2012 and avoid nearly $10 million in additional future expenses.

Finally, Ferguson's base salary of $7.25 million for 2013 becomes guaranteed -- again for skill -- if he's on the 80-man roster on the second day after the start of the waiver system for the 2012 season. So if he suffers a serious injury in 2012, the Jets can easily avoid that money due in 2013.

Ferguson also has a $3.9 million option bonus, but the Jets have an extended period within which to decide whether to pay it. The first possible date is the first day of the next league year, which if there's labor peace will come in early March, 2011. The last day for exercising the option will be the day after the first regular-season game in the next league year. So they can cut him as late as September 2011 and avoid that $3.9 million payment.

None of those payments will be made if Ferguson endures a serious injury, or if his skills suddenly evaporate.

While some may brush this off as a cash-flow issue only, since future payments fully guaranteed for injury and skill must be funded immediately, the Jets could have guaranteed the full amount of the future guaranteed base salaries (which total $22.85 million) for injury now and skill later, like the Bears did with defensive end Julius Peppers. The Jets didn't, and now Ferguson will bear the risk of that every time he laces up his cleats from now until the end of the 2010 season.

What has Ferguson gained? His base salary of $3.122 million in 2010 (the terms under his prior deal) has increased to a total payout of $5.3225 million.

So he picked up $2.2005 million now, with no guarantees moving forward. Though he'll be in line for more than $22 million guaranteed if he gets through 2010 (and 2011) unscathed, he already was in line for at least $10 million guaranteed next year, the final year of his rookie deal.

Bottom line? As usual, the real terms of the contract fall far short of the amount initially reported.

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Does anyone know how insurance policies work for a contract of this type? Is it possible that D’Brick could take-out a policy that would ‘supplement’ the ‘lost’ money should he have a career ending injury? Although I am sure this is not a cheap option (and I am sure it wouldn’t cover the entire $$ written into the contract), but it would seem to put the player’s mind at ease (i.e. he still get some money if an injury occurs).

If this is possible – this seems to be an incredible deal for both NFL teams and players. Let the player take out the insurance to give them piece of mind, and protect the cap number against injured/non-contributing players.

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How many posters here wish they just got "hosed" like Ferguson?

Insurance policies can be worded any way you like. It will be more expensive to have one that covers career-changing injuries but that doesn't mean they don't exist just because Leon Washington supposedly wasn't willing to fork over enough in premiums to get one.

Great deal. The insurance policy will be affordable, for less than the amount of the raise he got, and that is his guarantee. He only needs the policy for 2 seasons, not for the remainder of his career, to get the guaranteed part of his contract.

Truth is, it's better for the game for the guaranteed components of the contracts to be covered by insurance companies rather than being guaranteed by teams when there is a salary cap. Two major injuries are tough to deal with. Two major injuries where a team still can't spend that money elsewhere for more than just the current "lost" season, due to a salary cap, is too much punishment for a franchise and its fan base.

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How many posters here wish they just got "hosed" like Ferguson?

Insurance policies can be worded any way you like. It will be more expensive to have one that covers career-changing injuries but that doesn't mean they don't exist just because Leon Washington supposedly wasn't willing to fork over enough in premiums to get one.

Great deal. The insurance policy will be affordable, for less than the amount of the raise he got, and that is his guarantee. He only needs the policy for 2 seasons, not for the remainder of his career, to get the guaranteed part of his contract.

Truth is, it's better for the game for the guaranteed components of the contracts to be covered by insurance companies rather than being guaranteed by teams when there is a salary cap. Two major injuries are tough to deal with. Two major injuries where a team still can't spend that money elsewhere for more than just the current "lost" season, due to a salary cap, is too much punishment for a franchise and its fan base.

Sperm - Thanks for clarifying.

This is a win-win for both D'Brick and the Jets. If D'Brick gets a career ending injury - he will pocket more than he would have without the new contract (insurance).

For the Jets - I think there are two benefits:

- Salary cap position won't be compromised for a couple of years if there is a career-ending injury.

- If D'Brick plays poorly in the next two seasons, they can terminate the deal with little effect to future cap years. This should motivate him to play his arse off.

Tanny has done it again. I think what has been understated for many years is Tanny's ability to work with agents to get these type of creative deals set-up. I am sure it's not easy to convince agents and players to move into these types of deals! But he finds a way to make it alluring and possible for a player to maximize the contract with exceptional play/work ethic.

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Im torn on this. Glad the Jets got such a great player at such a low price. Feel bad for Brick who didn't really get all that much. I guess he needs a better agent. I dont see how this changes the other negotiations.

I think it's very fair, and the way it should be. You're payed to play, if he plays, he's rewarded quite well. If he gets hurt, he can go on disability like the rest of us.

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Just got a response from PFT on the question I initially stated in this thread (in relation to the insurance policy):

"It's very common, but very expensive. He shouldn't have to do it -- the money should be guaranteed for injury. to call it $34.8 million guaranteed with no injury guarantee is a misrepresentation."

Florio's persistent posts on PFT about this contract are simply because he feels like D'Brick's agent is mis-representing its true value (true). Granted - most contracts in the NFL are this way, but he seems to really enjoy picking apart really 'big' deals like this!

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Truth is, it's better for the game for the guaranteed components of the contracts to be covered by insurance companies rather than being guaranteed by teams when there is a salary cap.

the problem with insurance is it only pays if the career is actually over. Leon took a policy with Lloyds of london ok but he doesn't actually get that payout unless he stops playing. he suffers grotesque injury at oakland but still playing with seattle, there fore it was not "career ending"

There's alot of gray area there... let's say Brick gets hurt, not bad enough to retire but bad enough that they feel his skills aren't the same... that's not going to pay out insurance.

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the problem with insurance is it only pays if the career is actually over. Leon took a policy with Lloyds of london ok but he doesn't actually get that payout unless he stops playing. he suffers grotesque injury at oakland but still playing with seattle, there fore it was not "career ending"

There's alot of gray area there... let's say Brick gets hurt, not bad enough to retire but bad enough that they feel his skills aren't the same... that's not going to pay out insurance.

Im trying to clarify how the Jets and his gent agreed upon injury terms. My guess is that he is protected unless he suffers a career ending injury. The Jets have the ability to cut him in any year from January through February if he is hurt, but why would you cut a player that might be able to play? Because the contract is guaranteed for skill they cant cut him because "injury diminished his ability to play". Thats a cut based on skill. He should be protected from any event that causes his skill level to diminish including injury. The Jets should only be able to get out from the guarantee if he suffers an injury where the doctors say he cant play anymore. Those injuries should be covered by an insurance policy.

This also protects Brick in the event that the Jets simply decide that 2010 did not work and they want to slash costs. If his contract is not guaranteed for skill they can just cut him, no questions asked. The odds are far better in the NFL of a team simply deciding to cut you than to suffer a career ending injury. I know Leon basically got one last year, but when was the last time we saw one of our guys get an injury that bad? Guys get beat up in the NFL, but its usually more long term hurt, not short terms hits that end a career.

I also really do not believe that the CBA allows the Jets to fully guarantee salary due to the uncapped year and the way extensions are considered in the CBA. If that is the case I actually think they made a decent choice with the way they went about this contract.

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the problem with insurance is it only pays if the career is actually over. Leon took a policy with Lloyds of london ok but he doesn't actually get that payout unless he stops playing. he suffers grotesque injury at oakland but still playing with seattle, there fore it was not "career ending"

There's alot of gray area there... let's say Brick gets hurt, not bad enough to retire but bad enough that they feel his skills aren't the same... that's not going to pay out insurance.

You really just don't read what other people write. One more time, same thing: it depends on the policy he takes out.

If you want a cheaper policy, it will probably only cover career-ending. One that is more comprehensive will cost more money. But you can get an insurance policy for anything you want. Somewhere in an insurance company's office, an actuary will assess the risk and come up with a dollar amount for the insurance company to take on that risk. I don't know where you get the idea from that there is only one type of insurance policy to be had.

Your analogy is like saying auto insurance doesn't cover injuries over $100,000. It does if you pay for the additional coverage and it doesn't if you don't pay for it.

Leon's situation is different because:

1) The coverage he took out is the coverage he took out. It is not going to cover things not stated in his policy.

2) He didn't have a provable amount of money he lost out on. Ferguson has a signed contract he can point to. Ferguson's monetary loss wouldn't be based on supposition of his future worth on the open market, but rather what it says on the friggin' paper he and the team signed.

As a result, I wouldn't expect their policies to be carbon-copies of each other with the only differences being the date and the blank where the player's name goes.

An entire franchise and its fan base shouldn't be held hostage by a contract that someone isn't living up to, in particular due to injury or death (morbid as it is to discuss). Not in a salary cap situation. If a player wants insurance that guarantees money in the event of injury he should take out an insurance policy. I have sympathy for any player (or any person really) whose life is adversely affected due to unforeseen or accidental injury, and would feel differently as it relates to NFL players if there were no salary cap in place. But as it has been with a salary cap, if a high-priced player doesn't pan out a team can't simply ante up and replace that player without robbing that salary from other positions on the field. There is a finite amount of money a team is allowed to spend on players. It's tough enough for a team to deal with injury to star players; piling on that by telling them they can't spend that high-priced salary on a replacement doubles down on that. As a result, I can't say I blame teams who shy away from guaranteeing too much money off the bat on too many players.

Edited by Sperm Edwards
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You really just don't read what other people write. One more time, same thing: it depends on the policy he takes out.

If you want a cheaper policy, it will probably only cover career-ending. One that is more comprehensive will cost more money. But you can get an insurance policy for anything you want. Somewhere in an insurance company's office, an actuary will assess the risk and come up with a dollar amount for the insurance company to take on that risk. I don't know where you get the idea from that there is only one type of insurance policy to be had.

I understand that... but insurance isn't really going to cover NFL teams cutting someone. the chances of that happening are ridiculously high. almost 100% everyone gets cut eventually.

As a result, I can't say I blame teams who shy away from guaranteeing too much money off the bat on too many players.

I dont blame the teams for trying to sign these talented players at the lowest price possible. That's their job. I wonder about Brick's agent for letting him get hosed. But i guess it's good for the Jets...

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How many posters here wish they just got "hosed" like Ferguson?

Insurance policies can be worded any way you like. It will be more expensive to have one that covers career-changing injuries but that doesn't mean they don't exist just because Leon Washington supposedly wasn't willing to fork over enough in premiums to get one.

Great deal. The insurance policy will be affordable, for less than the amount of the raise he got, and that is his guarantee. He only needs the policy for 2 seasons, not for the remainder of his career, to get the guaranteed part of his contract.

Truth is, it's better for the game for the guaranteed components of the contracts to be covered by insurance companies rather than being guaranteed by teams when there is a salary cap. Two major injuries are tough to deal with. Two major injuries where a team still can't spend that money elsewhere for more than just the current "lost" season, due to a salary cap, is too much punishment for a franchise and its fan base.

The insurance policy needs to be funded by the PLAYER for us to get a refund on the cap. See Curtis Martin's last contract, and what he did for the Jets funding it himself, as proof. If the Jets fund the policy, the premium counts on the cap.

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did a little more research... in last year Leon's discussion it was revealed that agencies won't actually insure a player on anything but career ending injury. They won't insure on cuts, 'skill slippage' or anything else. It's not even a case where it's more expensive, they won't do it. They will insure particular body parts like Tom Brady's arm or Eric Clapton's hands... but that's slightly different.

and even in case of career ender, the payoff is small... like 1 or 2 mil not the 20 mil a player would make with a legit 2nd contract.

end of the day this is a great deal for the Jets, a kinda garbagey deal for Brick... and as we are all Jets fans, not Brick fans, It's good news... but don't think this is a "reasonable" contract for Revis or Mangold's team to follow. Brick's agent team let him down. Not sure if it was on the instructions of their client... or what..

but this is not a deal to write home about... the agents said 34 mil guarantee, the actual is 5, that's a huge difference.

Edited by bitonti
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I also really do not believe that the CBA allows the Jets to fully guarantee salary due to the uncapped year and the way extensions are considered in the CBA. If that is the case I actually think they made a decent choice with the way they went about this contract.

Im kinda out of my depth on all these contract talks... but there's nothing to stop them from giving guaranteed bonus, if not salary?

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end of the day this is a great deal for the Jets, a kinda garbagey deal for Brick... and as we are all Jets fans, not Brick fans, It's good news... but don't think this is a "reasonable" contract for Revis or Mangold's team to follow. Brick's agent team let him down. Not sure if it was on the instructions of their client... or what..

Revis and Mangold can't do a deal like this one because of the "30% rule." It's the big reason Ferguson was done first - that, and his willingness to sign this contract.

And it's hardly terrible for him. :lol:

I'm sure Brick sees himself as a guy who doesn't get hurt, and who's getting better every year. If he stays healthy and continues to play well, he'll make a lot of money.

I think saying that his team "let him down," is a stretch. It's not a perfect deal, but he's not a perfect player. He's getting a very good contract for who he is, at a time when not a lot of players are getting any sort of extensions at all. It's a tough environment right now, but Brick and his team worked thru that to get him some sort of security. A lot of players around the league -and on the Jets- would be happy to get what he got.

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Exactly how many NFL contracts are guaranteed?

Oh yeah....almost none. I also wonder where Florio got his law degree.

Just another Jet bashing article from the dying media, who will turn around and then honestly wonder why people seek out other news sources.

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How about yesterday when you said Brick is the most unlikely player to get injured.

Now you're worried about his insurance policy.

STFU already.

Dude you can disagree with Bit that is fine. No reason to attack him with the STFU commentary though.

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Back on topic.......signing Dbrick was the wisest and smartest move the Jets could finalize for a few reasons. Firstly the FO rewarded one of their core players that didn't complain through the media about his contract. IMO it shows that although the Jets are trying to change the culture on the field, they are attempting to not be bullied around my people who believe that they deserve enormous contracts.

Next step is to sign Mangold to solidify our offensive line and enable us to run the ball for years to come. I'm still torn on who to sign after Mangold, (Harris or Revis) but it will be disappointing if its not Mangold getting the next contract.

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Back on topic.......signing Dbrick was the wisest and smartest move the Jets could finalize for a few reasons. Firstly the FO rewarded one of their core players that didn't complain through the media about his contract. IMO it shows that although the Jets are trying to change the culture on the field, they are attempting to not be bullied around my people who believe that they deserve enormous contracts.

Brick signed first because he was the most willing to sign a team friendly deal. The lack of truly guaranteed money in his contract sounds an awful lot like the structure of the deal Revis turned down months ago.

Next step is to sign Mangold to solidify our offensive line and enable us to run the ball for years to come. I'm still torn on who to sign after Mangold, (Harris or Revis) but it will be disappointing if its not Mangold getting the next contract.

I agree that Mangold should be next. He's the most valuable piece of the OL, but he's also probably going to sign a deal that's a lot more team friendly than anything that Revis is looking for. Better to have Revis' team using Mangold's deal as a basis for negotiations than the other way around.

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The insurance policy needs to be funded by the PLAYER for us to get a refund on the cap. See Curtis Martin's last contract, and what he did for the Jets funding it himself, as proof. If the Jets fund the policy, the premium counts on the cap.

How is that contradictory to anything I said? So what if the player has to take out his own insurance policy? Truthfully, it's what's right in this case. The player insures himself against injury prior to true guarantees kicking in. After that his insurance is the guaranteed money from the team.

did a little more research... in last year Leon's discussion it was revealed that agencies won't actually insure a player on anything but career ending injury. They won't insure on cuts, 'skill slippage' or anything else. It's not even a case where it's more expensive, they won't do it. They will insure particular body parts like Tom Brady's arm or Eric Clapton's hands... but that's slightly different.

and even in case of career ender, the payoff is small... like 1 or 2 mil not the 20 mil a player would make with a legit 2nd contract.

end of the day this is a great deal for the Jets, a kinda garbagey deal for Brick... and as we are all Jets fans, not Brick fans, It's good news... but don't think this is a "reasonable" contract for Revis or Mangold's team to follow. Brick's agent team let him down. Not sure if it was on the instructions of their client... or what..

but this is not a deal to write home about... the agents said 34 mil guarantee, the actual is 5, that's a huge difference.

Career-ending is not the same as getting cut, nor is it the same as declining skill not due to injury. There is a hell of a lot of in-between room from a single career-ending injury and someone not being as good as he used to.

Show me where an insurance company says they absolutely will not, for any price, insure a player for lost wages due to injury.

Show me that and you will have won your first argument of 2010.

Dude you can disagree with Bit that is fine. No reason to attack him with the STFU commentary though.

+1

Bit and I have little in common beyond a decades-old repetition of the insanity that is rooting for the NYJ. But he's a good guy and "STFU" is the kind of rebuttal from someone who is unable to make a coherent argument and stand on its merits.

But Max isn't one to talk and he should really just STFU.

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How is that contradictory to anything I said? So what if the player has to take out his own insurance policy? Truthfully, it's what's right in this case. The player insures himself against injury prior to true guarantees kicking in. After that his insurance is the guaranteed money from the team.

Career-ending is not the same as getting cut, nor is it the same as declining skill not due to injury. There is a hell of a lot of in-between room from a single career-ending injury and someone not being as good as he used to.

Show me where an insurance company says they absolutely will not, for any price, insure a player for lost wages due to injury.

Show me that and you will have won your first argument of 2010.

+1

Bit and I have little in common beyond a decades-old repetition of the insanity that is rooting for the NYJ. But he's a good guy and "STFU" is the kind of rebuttal from someone who is unable to make a coherent argument and stand on its merits.

But Max isn't one to talk and he should really just STFU.

+1 (re: the desire for Max to STFU :P)

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the problem with insurance is it pays out in only very specific circumstances. I.e. career ending not career changing. Leon doesn't get his payout because he's in seattle still working on his career. If Brick gets nicked up or his skills deteriorate he doesn't get a lump sum for career ending injury.

there isn't really any good way to say this - it looks like Brick got hosed.

you can get any policy you want. you can get a hangnail policy if you want it. granted it'll cost $9,999.99 for every $10,000 you insure... but Lloyd's can handicap anything. so if brick wants a policy to guard against every possible eventuality he can get it - granted it'll cost more than leon's.

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you can get any policy you want. you can get a hangnail policy if you want it. granted it'll cost $9,999.99 for every $10,000 you insure... but Lloyd's can handicap anything. so if brick wants a policy to guard against every possible eventuality he can get it - granted it'll cost more than leon's.

Thank you. Insurance coverage is like sports betting. If you want to lay money down on any event's outcome (2nd Q rushing yards, 1st 3 games missed FG's, etc) there will be a casino spotsbool or bookie who will give you your odds.

If Brick is willing to pay an insurance premium there will be some insurer willing to take his bet.

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