Navigating NFL Contract Negotiations: Hold-Ins and Penalties Under the 2020 CBA

In the ever-shifting realm of NFL contract negotiations, the 2020 collective bargaining agreement (CBA) has significantly altered the landscape, compelling players and teams to adopt new tactics and face stricter penalties. One prominent maneuver that has emerged is the "hold-in," where players attend training camps but limit their participation to signal their dissatisfaction with their current contract status.

The Costly Consequences of Missing Training Camp

The stringent rules under the current CBA mandate teams to fine players who miss training camp. Veterans beyond their rookie contracts incur a $50,000 daily penalty, while rookies face a slightly lesser fee of $40,000 per day. Moreover, missing preseason games can lead to further financial repercussions, with players risking a week’s base salary for each game they skip. Particularly targeted by these penalties are unrestricted free agents and first-round picks playing under their fifth-year options.

The stipulation that the training camp period extends from a team's mandatory reporting date to the Sunday before the first regular-season game adds another layer of pressure on players. Notably, only those on rookie contracts have a potential for fine forgiveness, providing a small respite amidst the stringent financial penalties.

High-Profile Hold-Ins and Fines: T.J. Watt and Brandon Aiyuk

One significant example of the "hold-in" tactic in action was T.J. Watt. In 2021, Watt employed this strategy and eventually secured his position as the NFL's highest-paid non-quarterback just before the regular-season kickoff. This move set a precedent and perhaps influenced other high-profile players facing contractual frustrations.

Brandon Aiyuk offers another intriguing case. Scheduled to make a fully guaranteed $14.124 million in 2024 on a fifth-year option, Aiyuk skipped offseason workouts and accrued a $101,716 fine for missing the mandatory June minicamp. His discontent was further underscored when he requested a trade shortly before training camp commenced.

Ja'Marr Chase: The Cincinnati Dilemma

Ja'Marr Chase of the Cincinnati Bengals also utilized limited participation as a negotiation tool. Beyond walkthroughs, Chase abstained from team drills during June’s mandatory minicamp. With the Bengals exercising a fully guaranteed $21.816 million fifth-year option for him in 2025, the stakes are high. Bengals president Mike Brown remarked, "He's a key player next to Joe [Burrow]. He's our next one. He knows that. We know it."

However, as the regular season looms, the prospect of Chase sitting out without a new contract presents a significant dilemma for the Bengals. Brown acknowledged the complexity of the situation, stating, "The offseason is a better time for that and we're going to try to keep focused on the football part. I'm not going to rule anything out, but I will tell you that the die has probably been cast."

Enforcing Player Contracts: Risks and Penalties

Teams hold substantial leverage if players choose to walk out after reporting to training camp. Such a move could result in the player being placed on the reserve/left squad list, effectively preventing him from playing for the rest of the season and freezing his contract for the following year. Additionally, the maximum penalty for a breach or violation of Paragraph 2 in the NFL Player Contract includes a fine equivalent to one week's salary and a four-week suspension without pay.

Contract Extensions and Guarantees

The landscape of NFL contracts also features significant extensions and guaranteed money, further intensifying the dynamics between players and teams. Justin Jefferson secured a four-year, $140 million extension with the Minnesota Vikings, with $110 million in overall guarantees and $88.743 million fully guaranteed at signing. Likewise, DeVonta Smith and Jaylen Waddle received lucrative extensions, with Smith signing a three-year, $75 million deal with the Philadelphia Eagles and Waddle landing a three-year, $84.75 million extension from the Miami Dolphins.

As the NFL continues to navigate these turbulent waters, players and teams alike must balance contractual obligations, financial penalties, and the strategic maneuvering of hold-ins. The evolving landscape under the 2020 CBA underscores the high stakes and intricate negotiations that define professional football today.