Evander Kane, Sharks Inform Bankruptcy Court Of Potential Contract Termination
When San Jose Sharks forward Evander Kane filed for bankruptcy in January, just before the start of the season, there was some concern that he would not be available to play in 2020-21. While that has not been the case, a new question has arisen in relation to Kane’s bankruptcy case and his playing future: is this his final season with San Jose?
The Athletic’s Daniel Kaplan and Kevin Kurz write today that Kane, along with the Sharks, filed a motion in United States federal bankruptcy court requesting an extension on the court’s determination as to how Kane’s contract is governed by bankruptcy law and whether it should be assumed as part of reorganization. Their reasoning: as the parties to the contract, they each acknowledge a possibility of rejection of the deal, making the determination a moot point. The court has accepted this motion, delaying the case until June 7. For a San Jose team that is highly unlikely to make the 2021 playoffs, this date falls after the season is over, at which time the two sides could decide to terminate the remaining four years and $29MM of the $49MM pact that Kane signed in 2018.
Why exactly does either side wish to terminate the deal? After all, Kane is the Sharks’ second-best scorer so far this season and a perennial 30-goal, 50-point player who is well worth his value. Kaplan and Kurz posit that for both sides this is simply about saving money in the short-term. While that may seem counter-intuitive for Kane to give up so much guaranteed money, not only is the contract filed as his sole source of employment in his bankruptcy filing, but it was also used to secure many of the loans that he has defaulted on. Removal of the money promised in his contract would fundamentally change the way that his bankruptcy ruling would be organized, denying creditors of their immediate source of repayment. Essentially, the contract is all that Kane has and by removing it before his bankruptcy determination, the result would be very different. As for the Sharks, the team is happy with the play of Kane but as they endure another difficult season and consider a rebuild, $29MM in future salary could be put to better use in a time of financial hardship.
Of course, Kane’s creditors also want a say in the matter. One in particular, Zions Bancorp, has filed a motion requesting that Kane’s bankruptcy case be treated as a business under Chapter 11 rather than as an individual under Chapter 7. They claim that Kane’s losses, mostly attributed to gambling, should be considered business-related. If this change is made, with a hearing occurring later this month, than the $29MM remaining on Kane’s contract would be open to creditors and a lien would be placed on those future earnings. In this case, there would be even more motivation for Kane to terminate the deal. If the contract remains shielded from creditor access, then it is more likely to be honored by Kane and Sharks, especially in the event of a positive decision from the judge on how it should be treated.
The NHL and NHLPA are certainly watching this case closely as well, but as Kaplan and Kurz note there is not much that they can do when it comes to competing with federal law. If the Sharks and Kane decide to terminate the contract in the eyes of the bankruptcy court, that would supersede any collectively bargained rules and processes. However, if this does occur, the league and players’ association could certainly step in to prevent Kane from signing a new deal with San Jose – or with any other team – after his bankruptcy decision has been finalized. Kane is no stranger to off-ice issues and the league may not want to further enable him and set a precedent that their rules can be warped when players get into personal trouble.
There is still much to be decided in this case, but this is now the second time that Kane’s bankruptcy case has come up as a possible hindrance to his participation in the NHL and it likely won’t be the last. With the Sharks now involved, this situation has been elevated from an individual issue to one that could impact the team, the league, and players’ rights. The case bears watching in the coming months.
COVID Protocol Related Absences: 03/10/21
*UPDATED*
Each day, the NHL will publicly release the list of players that are unavailable to their respective teams due to being in COVID-19 Protocol. Following a late report from the Kings, the list is in for today:
Edmonton – Kyle Turris
Los Angeles – Cal Petersen*
Nashville – Erik Haula
San Jose – Marcus Sorensen
As a reminder, inclusion on this list does not mean that a player has tested positive for Coronavirus or even that they have been confirmed as a close contact to another positive person. Included in the NHL’s list of possible reasons for someone being on the list is are the following:
(1) an initial positive test which remains unconfirmed until confirmatory testing is completed pursuant to the Positive Test Protocol; (2) mandated isolation for symptomatic individuals pursuant to the Positive Test Protocol; (3) required quarantine as a high-risk close contact in accordance with the Positive Test Protocol; (4) isolation based on a confirmed positive test result and/or; (5) quarantine for travel or other reasons as outlined in the COVID-19 Protocol
Players removed today: None
The league released their initial list today with only the L.A. Kings absent. The hope was that it was purely due to their West Coast location and not a pending placement. Alas, the latter was true. Petersen ends up on the list and the CPRA list adds a new name while not removing one in return. The league is still miles ahead of where they were just a few short weeks ago and there still have not been any team-wide outbreaks in some time, but they just can’t seem to empty the list, as Petersen becomes the latest addition.
*denotes new addition
Dante Fabbro Suspended Two Games
The Department of Player Safety has come down on Dante Fabbro, ruling that the two-minute minor he received for elbowing Brock McGinn was not enough. The league has suspended the Nashville Predators defenseman two games for the incident. As the accompanying video explains:
It is important to note that players often hold their arms in front of their chest when delivering a hit to ensure that their chest does not absorb the full impact of the contact. However, on this hit, Fabbro does not keep his arm tight to his body, but instead extends it up and away from his chest, driving it directly into McGinn’s head. What causes this hit to rise to the level of supplementary discipline is Fabbro’s significant extension of his elbow upward and the direct head contact, combined with the force of the blow.
McGinn did leave the game initially but returned before it was over. Fabbro has not been fined or suspended in his NHL career, though that spans just 94 games so far.
The Predators will now be without Roman Josi, Ryan Ellis and Fabbro for the next two games, leaving Mattias Ekholm as the only true top-four option on the roster. That means younger players like Jeremy Davies and Alexandre Carrier, both up on emergency loans, will likely be asked to play significant roles.
Disney, ESPN, NHL Announce Long-Term Broadcast Agreement
After a report surfaced yesterday that ESPN had signed a deal with the NHL to return as a broadcast partner, the league officially announced the agreement today. The Walt Disney Company, ESPN, and the NHL have reached a seven-year deal beginning in the 2021-22 season that covers U.S. television, streaming and media rights. The agreement will include coverage of the Stanley Cup Final on ABC in four of seven years, 25 exclusive national regular season broadcasts per season on ABC or ESPN, 75 national regular season games streaming exclusively on both ESPN+ and Hulu, half of the Stanley Cup Playoffs on ABC or ESPN each season and coverage of events like the All-Star game each season. The NHL’s out-of-market streaming package, formerly on NHL.tv, will also be available on ESPN+.
NHL commissioner Gary Bettman released this statement:
This partnership of the world’s top hockey league and the platforms of The Walt Disney Company is a big win for our fans and our game. Not only will this groundbreaking, seven-year deal enable the NHL to benefit from the incomparable power, reach and influence of The Walt Disney Company and ABC/ESPN, it sets a new standard in delivering our game to the most passionate and tech-savvy fans in sports in the ways they now demand and on the platforms they use.
The deal does not cover the entire broadcast rights and another company will be involved at some point. NBC’s current 10-year contract with the league is set to expire at the end of the season and Joe Reedy of the Associated Press reports they will be included in the bidding for the other part of the deal moving forward. Reedy also reports that Fox Sports and CBS are likely to put in bids as well.
Importantly, broadcast deals have a huge impact on the finances of professional sports. The NHL is facing a flattened salary cap thanks to the COVID crisis that halted last season and removed ticket revenue for so long, meaning a partnership of this magnitude is a positive step in the right direction financially. Unfortunately, the league did not include the financial details in the release, so it’s not clear yet exactly how much it will help move the needle on hockey-related-revenue. Sean Shapiro of The Athletic however reports that the deal will pay more than $400MM per year to the NHL. Previously, NBC had paid $200MM annually in their 10-year deal.
Still, there is considerable excitement around the deal, which also helps the NHL further move into the streaming realm where so many hockey fans are consuming content. With the power of Disney behind them, it should only attract more eyes and excitement in the U.S.
Photos courtesy of ESPN Images
Artemi Panarin Returns To New York Rangers
Privet, Breadman. That’s how the New York Rangers announced that Artemi Panarin had returned to practice after taking a leave of absence from the team. Panarin had been dealing with the aftermath of an accusation that appeared in Russian media, which the Rangers and he both immediately denounced as untrue. It has been several weeks since he left the team, so to see him back on the ice was a welcome picture for fans of the team.
It may not be a welcoming sight for New York’s opponents though, given how important Panarin is to the team’s attack. The 29-year-old winger was a finalist for the Hart Trophy last season and had 18 points in 14 games before leaving the team. If he is back for good, the Rangers—who are not completely out of the running, but a 10-11-3 record so far isn’t great—will be a much tougher team to take on.
In the brutal East Division, even a positive goal differential hasn’t been good enough to result in much success. The Rangers sit sixth, six points behind the Philadelphia Flyers and seven points behind the Boston Bruins for a playoff spot. Panarin’s return couldn’t come at a better time, given New York will play the Bruins and Flyers for the next four games.
Photo courtesy of USA Today Sports Images
Taxi Squad Shuffle: 03/10/21
There has been plenty of roster movement between NHL teams and the taxi squad on a daily basis this season. Although some major names may be highlighted in separate articles, this is where you’ll find the majority of that shuffle news each day:
West Division
- With Jonathan Quick battling injury and Calvin Petersen landing on the CPRA list, the Los Angeles Kings have been forced to recall Troy Grosenick from the taxi squad and Matt Villalta from the AHL’s Ontario Reign to take over in net. Grosenick is expected to make his first NHL start since 2014 on Wednesday night. Rookie defenseman Tobias Bjornfot has also been promoted from the taxi squad and should play tonight.
North Division
- The Edmonton Oilers have recalled Patrick Russell from the taxi squad, moving Evan Bouchard back to it in his place. William Lagesson has also been activated off injured reserve, while Kyle Turris–who remains in the NHL’s COVID Protocol–has been designated as non-roster.
Central Division
- The Detroit Red Wings have moved Alex Biega to the taxi squad, where he has spent most of the season. The 32-year-old defenseman has played just three games for the team this season, averaging fewer than 12 minutes a night.
- The Dallas Stars have recalled Colton Point from the AHL, sending Landon Bow back in his place. Rhett Gardner has been moved to the taxi squad. The Texas Stars have a four-game homestand coming up starting on Friday and they will likely use it to get some action for both goaltenders.
East Division
- The Pittsburgh Penguins have re-assigned Josh Currie to the AHL, where he is actually serving as captain this season. While he has just 22 games of NHL experience, Currie has been excellent in the minor leagues, scoring 106 goals in his 301-game AHL career.
- After being up with the New Jersey Devils for just one day, Ben Street has been returned to the AHL. The 34-year-old veteran has 11 points in 10 games with Binghamton this season and is one of their most important forwards. The team has also assigned Michael McLeod to the taxi squad, brought up Joshua Jacobs and Nicholas Merkley from Binghamton, and sent Connor Carrick and Brett Seney back in their place.
- The New York Islanders have moved Jakub Skarek to the AHL for the day in order to get him some game action, and, according to Arthur Staple of The Athletic, are expected to recall him back to the taxi squad afterward.
This page will be updated throughout the day.
Robin Lehner Sent To AHL On Conditioning Loan
The Vegas Golden Knights have been riding the hot hand of Marc-Andre Fleury for most of the season, but they actually have another goaltender that was expected to demand the majority of starts. Robin Lehner, who signed a five-year, $25MM contract with the Golden Knights after landing in Vegas last season, has just five appearances because of injury. His last start was over a month ago, but it appears as though his return on the horizon. Lehner has been assigned to the AHL’s Henderson Silver Knights on a conditioning loan, though the release says he will just practice with the team.
The Golden Knights have also announced that Logan Thompson has been recalled to the team’s active roster and Patrick Brown has been added to the taxi squad. Oscar Dansk and Tyrell Goulbourne have been assigned to the AHL.
Even though Lehner is coming back soon, it doesn’t mean the Golden Knights should move away from Fleury. The 36-year-old is off to the best start of his 17-year career, posting a .943 save percentage through 16 appearances. Four of those have been shutouts to lead the league, one of many categories he is at the top of. Despite being one of the most experienced goaltenders in NHL history—Fleury has played more regular season games than all but just 11 goaltenders—he has only received Vezina Trophy votes on four occasions and never been a finalist. That seems destined to change this season, unless his play falls off dramatically over the next few months.
Lehner meanwhile has received Vezina Trophy votes in each of the last two seasons and was a finalist in 2019 when he won the William M. Jennings with the New York Islanders. Despite a well-traveled career, he has a strong .918 save percentage and was great for Vegas in last year’s playoffs. There’s no question that he deserves some of the starts once he proves healthy enough to rejoin the NHL squad, but how the pie is divided will be a tough task for head coach Pete DeBoer.
Photo courtesy of USA Today Sports Images
Tampa Bay Lightning Sign Daniel Walcott
The Tampa Bay Lightning announced an extension for one of their minor league veterans last night, inking Daniel Walcott to a new two-year contract. The two-way deal will cover the 2021-22 and 2022-23 seasons and keep Walcott from becoming an unrestricted free agent later this summer.
Now 27, Walcott was originally selected in the fifth round of the 2014 draft as a defenseman but has played mostly forward of late during his minor league career. With the Syracuse Crunch since 2015, he now wears an “A” as an alternate captain. He never has played in the NHL and if he does, it will likely come as a fourth-line injury replacement.
Still, the Crunch have always valued the leadership that AHL veterans bring and Walcott has now been rewarded with a nice two-year contract. The financial details of the contract were not included in the press release, but his cap hit will almost assuredly stay buried anyway.
Dante Fabbro To Have Hearing With Department Of Player Safety
The Department of Player Safety has some more work to do and the Nashville Predators are about to lose another key player. Dante Fabbro has a hearing today for his elbow on Carolina Hurricanes forward Brock McGinn. The incident happened midway through the second period last night and Fabbro was issued a two-minute minor penalty. McGinn initially left the game but did return in the third period.
Fabbro appears to be destined to miss at least one game since the league will be holding a hearing, meaning Nashville is down another defenseman. They’re already missing Roman Josi, Ryan Ellis, and Luca Sbisa due to injury, forcing Fabbro into an increased role. The young defenseman played nearly 23 minutes last night including nearly five shorthanded and recorded an assist. With him out, Mattias Ekholm will likely have an even bigger load dropped on his plate after logging nearly 29 minutes last night.
The Predators’ next game is tomorrow against the same Hurricanes for traveling to Tampa Bay for a two-game series against the Lightning.
Trade Deadline Primer: Calgary Flames
Although we’re not even two months into the season, the trade deadline is just over a month away. Where does each team stand and what moves should they be looking to make? We continue our look around the league with the Calgary Flames.
Expectations were high in Calgary heading into the season. Goaltending was a concern last year so they went and got the best one on the market in Jacob Markstrom. T.J. Brodie moved on to Toronto in free agency but Chris Tanev was brought in. The offense largely remained intact and while they underachieved a bit last season, the talent is there for improvement. But the results haven’t met the expectations. One big change was already made behind the bench but GM Brad Treliving will have to decide over the next several weeks if more moves need to happen.
Record
11-12-3, 6th in North Division
Deadline Status
Buyer
Deadline Cap Space
$1.890MM in full-season space ($4.435MM at the trade deadline), 0/3 retention slots used, 46/50 contracts used per CapFriendly.
(This number fluctuates considerably with Derek Ryan being recalled or sent to the taxi squad on a near-daily basis. The above amount is with Ryan on the taxi squad, not the active roster.)
Upcoming Draft Picks
2021: CGY 1st, CGY 2nd, CGY 3rd, EDM 3rd, CGY 5th, CGY 6th, CGY 7th
2022: CGY 1st, CGY 2nd, CGY 3rd, CGY 4th, CGY 5th, CGY 6th, CGY 7th
Trade Chips
Sam Bennett’s desire to play elsewhere is well-known after his agent, Quartexx’s Darren Ferris, made that request public late in January. Since then, he has basically been everywhere from the front line to the press box. Accordingly, it’s hard to imagine his name not being in play over the next month. However, the recent coaching change that brought Darryl Sutter throws a wrinkle into things. The veteran bench boss encourages a grittier style of play, one that would seemingly benefit Bennett more than most on that roster. Accordingly, it’s not easy to see the 24-year-old stepping up over the next few weeks, potentially taking his name out of consideration in the process. If not, the pending restricted free agent – who carries a $2.55MM AAV and needs a qualifying offer at that rate this summer – is going to be in plenty of speculation between now and April 12th.
Oliver Kylington has been an interesting player on Calgary’s back end. After he somewhat shockingly slipped to the end of the second round in 2015 going 60th overall, it was a slow climb to the NHL but he looked to have the inside track for a spot on the third pairing after playing 48 games last season. However, he cleared waivers back in January, has been sent down to the taxi squad a dozen times, and has played in just three games this season. Still just 23 and carrying a cap hit of just below $788K, Kylington is a prime candidate to be moved to a team that may be rebuilding and would have more of a willingness to live with the ups and downs of his performance.
Dominik Simon looked like a quality pickup for the league minimum back in October. After recording 22 and 28 points over his previous two seasons with Pittsburgh, the 26-year-old seemed like a good addition to their fourth line while being someone that could move up if needed. Instead, he has hardly played, suiting up in only nine games and clearing waivers earlier this month. He doesn’t have the potential upside that Kylington does but the winger is the type of affordable depth that teams often try to add closer to the trade deadline on the cheap. The fact he can now be assigned to the taxi squad actually makes him more valuable than he was just a week ago when he was on waivers.
Others to Watch For: F Josh Leivo ($875K, UFA), F Matthew Phillips ($733K, RFA), D Alexander Yelesin ($925K, RFA)
Team Needs
1) Scoring help – Calgary sits 23rd in the NHL in goals per game, a number that stands out even more considering how high-scoring the North Division is; four of the top nine teams in the league in that department are from there. Johnny Gaudreau is their only double-digit scorer and only four players have 15 points or more on the season. In a division where many of the teams are high-scoring, the Flames will need to outscore their way out of trouble, not just rely on Markstrom. A top-six forward would go a long way towards accomplishing that.
2) End of roster depth – Simon and Leivo were among those that Calgary brought in to give themselves some extra depth and be able to roll four lines. Unfortunately, it hasn’t worked to the point where they’ve rotated several players into that role with Leivo being the only one logging more than 10 minutes a night. Recent recalls have been in the five-to-eight-minute range. More is needed from their bottom few forwards. On the back end, Nikita Nesterov has seemingly won the battle for the sixth spot but hasn’t provided much at either end. Upgrading on him would also be a boost; a reunion with former Calgary defender Travis Hamonic – a pending UFA – would make some sense but an upgrade in general on the right side would be worthwhile.
Photo courtesy of USA Today Sports Images.