Official Oregon Kaufusi

Proud Shark

Proud Shark

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Super Impose said:
How does the mutual option work again ?
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It's my understanding that the player or the club can pick it up. It may look like:

- Club wants to take option, but the player doesn't - $500k
- Both agree - $400k
- Player wants to take option but the club doesn't - $300k

It seems to be a way of having some extra security for a year, without holding the club to the full amount of the contract. And vice versa, if the player value grows, the club can pick them up for another year with a increase locked in. Usually when they both agree there will be some sort of renegotiation and extension tied to it.
 
Tiger Shark

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Proud Shark said:
It's my understanding that the player or the club can pick it up. It may look like:

- Club wants to take option, but the player doesn't - $500k
- Both agree - $400k
- Player wants to take option but the club doesn't - $300k

It seems to be a way of having some extra security for a year, without holding the club to the full amount of the contract. And vice versa, if the player value grows, the club can pick them up for another year with a increase locked in. Usually when they both agree there will be some sort of renegotiation and extension tied to it.
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Is the monetary value necessarily different, I thought it would be the same regardless of who takes up what ?
 
bort

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Tiger Shark said:
Is the monetary value necessarily different, I thought it would be the same regardless of who takes up what ?
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Yeah I’m not sure, it would make sense there is some variations around it.
If it’s just a contract that’s in place if either party wants it it’s basically just a normal contract. If neither party wants it that’s just mutual decision against contract.
 
Proud Shark

Proud Shark

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Tiger Shark said:
Is the monetary value necessarily different, I thought it would be the same regardless of who takes up what ?
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Not necessarily, but it can be. I guess its a way of the club and player agreeing to a 3rd year, when maybe one or the other aren't completely convinced when signing.
HaroldBishop said:
Yeah you'd think so otherwise if you're the player you're refusing the option in the first instance.
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This assumes the player is going well and out performing the agreed value. Like I said above, I believe it's more a way of adding some extra security each way without over-committing.

Scenario a) Oregon does his ACL in preseason this year. With the emergence of Hazleton, and AFB getting signed, the club may have been inclined to not take up the option. Oregan can take it up at a lesser rate for security.

Scenario b) Oregon debuts for NSW this year and is dally M prop of the year, sky rocketing his value. He doesn't want to take up the option to renew his deal. The club can leverage the option to resign him long term, or at least keep him one more year before he goes elsewhere.

I agree, not many scenarios would play out where they just both agree to take up the option. You'd think in these circumstances both are looking at an extension anyway so a renegotiation would occur.
 
HaroldBishop

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Proud Shark said:
Not necessarily, but it can be. I guess its a way of the club and player agreeing to a 3rd year, when maybe one or the other aren't completely convinced when signing.

This assumes the player is going well and out performing the agreed value. Like I said above, I believe it's more a way of adding some extra security each way without over-committing.

Scenario a) Oregon does his ACL in preseason this year. With the emergence of Hazleton, and AFB getting signed, the club may have been inclined to not take up the option. Oregan can take it up at a lesser rate for security.

Scenario b) Oregon debuts for NSW this year and is dally M prop of the year, sky rocketing his value. He doesn't want to take up the option to renew his deal. The club can leverage the option to resign him long term, or at least keep him one more year before he goes elsewhere.

I agree, not many scenarios would play out where they just both agree to take up the option. You'd think in these circumstances both are looking at an extension anyway so a renegotiation would occur.
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Yeah that's all fair enough
 
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