Capology: NTCs and NMCs

As the free agency period approaches, Pro Hockey Rumors takes a look at No-Movement Clauses and No-Trade Clauses.

A no-trade clause (NTC) prevents a team from trading a player, but does not apply to loans or waivers. Players can negotiate limited NTCs that give the player the option to veto trades to certain teams. Players usually provide their current team with a list of teams for they would accept a trade. NTCs can be waived by players at any time, both temporarily or permanently. A no-movement clause (NMC), on the other hand, prevents a team from trading or waiving/loaning a player. Neither clause, however, prevents a team from buying out a player. If a team wants to buy out a player with an NMC, they must first give that player the option of being placed on waivers.

Other Notes

• Only Group 3 UFAs are eligible for these clauses;
• RFAs can negotiate for these clauses only if they become effective once the player would be group 3 UFA eligible; and
• Teams that trade for players with NTCs or NMCs are bound by these clauses unless the clause has not yet come into effect.

As we explained in our post on the NHL expansion draft, NMCs will potentially handcuff GMs in the upcoming expansion draft. All players with NMCs effective past 2017-18 are automatically protected and count against the number of players a team can protect.